After a sharp decline in mortgage rates last week, interest rates climbed back to roughly the same levels from two weeks ago, according to the latest weekly survey released by Freddie Mac.
“November’s employment report showed stronger job growth, no change in the unemployment rate and a jump in wages, suggesting to some market participants that the probability of an upcoming recession might be lower than originally thought,” Frank Nothaft, Freddie Mac vice president and chief economist, said in a statement.
“This led to a rise in interest rates for U.S. Treasury securities this week and mortgage rates followed,” he added.
The benchmark 30-year fixed-rate mortgage averaged 6.11 percent for the week ended December 13, up from 5.96 percent last week, while the 15-year fixed-rate mortgage rose to 5.78 percent, up from last week’s 5.65 percent.
Adjustable-rate mortgages were also higher, with the average five-year ARM up to 5.89 percent this week, a solid increase from last week’s 5.75 percent.
The average rate on a one-year ARM rose to 5.50 percent from 5.46 last week.
A year ago, 30-year mortgages averaged 6.12 percent, 15-year mortgages averaged 5.86 percent, the five-year ARM averaged 5.92 percent, and the one-year ARM averaged 5.45 percent.
Mortgage lenders also charged higher fees this week, with an average of 0.5 percent in fees and points on 30-year mortgages, up from 0.4 percent the prior week, and 0.6 percent on five-year ARMs, up from 0.5 percent last week.
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