Freddie Mac [1] released its Weekly Primary Market Mortgage Survey (PMMS) Thursday ending October 19th, showing that the 30-year fixed mortgage rate (FRMs) decreased by 3 basis points to 3.88 percent.
According to Sean Becketti, chief economist at Freddie Mac: "Rates came down slightly this week, ending a brief, two-week streak of increases.”
Let’s look at this week’s most recent data:
- The 30-year FRM averaged at a 0.5 mortgage point. The 30-year FRM averaged 3.52 percent the same time last year.
- The 15-year FRM this week averaged 3.19 percent, down from 3.21 percent last week. The mortgage point averaged at 0.5.
- The 10-year Treasury yield dipped 6 points.
- The 5-year Treasury-indexed ARM averaged 3.17 percent with an average 0.4 point. This is up from last week’s average of 3.16 percent. A year ago it averaged at 2.85 percent.
Methodology:
Average commitment rates should be reported along with average fees and points. The PMMS report defines discount points as the total charged by the lender at settlement. One point equates to one percent of the loan amount. Borrowers may still be required to pay closing costs which are not included in the PPMS.
For full definitions visit the Freddie Mac blog here [2].