Mortgage rates displayed little movement this week, but still eased to record levels, mortgage financier Freddie Mac said today.
The 30-year fixed slipped to 4.82 percent from 4.87 percent during the week ending April 16, but remains above its record low; a year ago it averaged 5.88 percent.
The 15-year fixed averaged 4.48 percent, down from 4.54 percent a week ago and 5.40 percent a year earlier; it’s at its lowest point since Freddie Mac began tracking it in August 1991.
The five-year ARM averaged 4.88 percent, down from 4.93 percent last week and 5.48 percent a year ago, its lowest point since tracking began in January 2005.
The one-year ARM was the only loser in the bunch, rising to 4.91 percent from 4.83 percent, but still sits slightly below its year-ago level of 5.10 percent.
“The housing industry is starting to exhibit some positive signs, albeit scarce and too early to tell how permanent,” said Frank Nothaft, Freddie Mac vice president and chief economist. “Factors such as homebuyer tax credits, low mortgage rates, and more affordable prices were cited as leading to more potential buyers.”
“This may have added to the rise in homebuilder confidence in April, which rose to the highest level in six months, according to the National Association of Home Builders. Moreover, confidence increased in each of the four regions, led by the Northeast and Midwest.”
It’s hard to get too excited about home sales, as mortgage activity continues to be dominated by refinancing fueled by record low rates, and home prices are surely set to fall further.
The interest rates above are good for conforming mortgages with a loan-to-value of 80 percent; jumbo mortgages continue to price much higher, like in the low six-percent range for a 30-year fixed.
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