Mortgage rates saw some improvement this week, but it wasn’t enough to revive flagging refinance demand, which fell a whopping 30 percent.
The popular 30-year fixed averaged 5.32 percent for the week ending July 2, down from 5.42 percent a week ago and 6.35 percent a year ago, according to mortgage financier Freddie Mac.
“Lower mortgage rates are helping to support the housing market,” said Freddie Mac chief economist Frank Nothaft, in a statement.
“The 30-year fixed-rate mortgage rate peaked this year over the week of June 11 and is now around a quarter-of-a-percentage point lower this week,” he added.
Unfortunately, it’s up markedly from the record low of 4.78 set back in early April, killing a refinance bonanza in the process.
The 15-year fixed averaged 4.77 percent, down from 4.87 percent a week earlier and 5.92 percent a year ago.
The five-year ARM slipped to 4.88 percent from 4.99 percent, and sits well below its year-ago average of 5.78 percent.
The one-year ARM averaged 4.94 percent, up a single basis point from a week ago, but below the 5.17 percent average seen this time last year.
The rates above are good for conforming loan amounts with a down payment of 20 percent; jumbo loans continue to price significantly higher.
