22 May 09 30-Year Mortgage Rates Creep Up
According to CNN Money, mortgage loan rates were mixed this week, with the average 30-year ticking higher, according to a report released Thursday. FHA rates remain low as new homebuyers are reconsidering their renting options as people know the mortgage rates won’t be this low forever. With the tax deductibility incentives, many Americans renting are finally seeing some advantages to becoming a homeowner and making a mortgage payment.
The average thirty-year fixed mortgage rate jumped to 5.24%, up from 5.21% the previous week, according to Bank Rate’s weekly national survey. Even with the increase, mortgage rates remain at historic lows, the report said. Mortgage interest rates have plunged since late October, when thirty-year fixed home mortgage rates averaged 6.77%.
“The economy remains very weak, and those concerns are balancing out the worries investors have about the amount of government debt issuance,” the report said, because mortgage rates are closely tied to long-term Treasurys.
Six months ago, the average 30-year fixed home loan rate was 6.33%, meaning a $200,000 loan would have carried a monthly payment of $1,241.86. With the average rate now at 5.24%, the monthly payment for the same size loan would be $1,103.17, meaning homeowners who refinance now would save $138 per month.
The average fifteen-year fixed rate mortgage fell to 4.74% from 4.76% the week prior.
The average jumbo mortgage rates for a 30-year fixed rate fell to 6.37%. FHA mortgage rates rose slightly to 5.125% for the weekly average.
Adjustable rate mortgage loans were also mixed, the report said, with the average 1-year ARM falling to 4.94% while the 5-year ARM increased to 4.96%
Tags: FHA, jumbo mortgage rates, mortgage rates
Leave a Comment
