Mortgage rates continue to dip deeper into record territory, with both the 30-year fixed and 15-year fixed reaching new lows during the week, according to mortgage financier Freddie Mac.
The popular 30-year fixed-rate mortgage averaged 4.56 percent during the week ending July 22, down from 4.57 percent a week ago and 5.20 percent last year.
The 15-year fixed fell to 4.03 percent from 4.06 percent a week ago, and sits well below the 4.68 percent average seen this time last year.
Meanwhile, the five-year adjustable-rate mortgage slipped to 3.79 percent from 3.85 percent, and sits about a point below the 4.74 percent seen a year ago.
Finally, the one-year ARM averaged 3.70 percent, down from 3.74 percent a week ago and 4.77 last year.
While the low mortgage rates are good for those looking to purchase a home or refinance an existing mortgage, they come at a cost (how mortgage rates are determined).
“The decline in mortgages rates over the past few weeks echoes the recent signs of weakening confidence in the strength of the economy, particularly the housing and consumer sectors,” said Frank Nothaft, Freddie Mac chief economist, in a release.
“For example, homebuilder confidence declined in July to lows not seen since April 2009, as measured by the NAHB/Wells Fargo Housing Market Index, following the large drop in housing starts reported for June.”
The interest rates above are for conforming loan amounts at 80 percent loan-to-value; pricing adjustments may increase or lower the rate you actually receive.
Jumbo loans continue to price a half percentage point or more higher than conforming mortgages.
