Mortgage interest rates moved up for a second straight week on news of better than expected economic growth in the third quarter.
In its weekly Primary Mortgage Market Survey, Freddie Mac reported the average interest rate for a 30-year fixed-rate mortgage (FRM) slid up to 4.02 percent (0.5 point) for the week ending November 6. It was the first time the 30-year fixed average measured above 4 percent in nearly a month.
With the increase, the 30-year FRM still remains more than half a percentage point lower than its 2014 high of 4.53 percent—recorded at the start of January.
The 15-year FRM was also up this week, averaging a rate of 3.21 percent (0.5 point).
Average rates edged up on adjustable-rate mortgages (ARMs), as well. According to Freddie, the average interest rate for a 5-year ARM was 2.97 percent (0.5 point) for the week, while the 1-year ARM averaged 2.45 percent (0.4 point).
Freddie Mac's chief economist, Frank Nothaft, pointed to promising economic reports as the catalyst for the latest increase. The ISM Manufacturing Index, released Monday, beat expectations at a reading of 59, while the government's advance report on gross domestic product shows the economy expanded at a rate of 3.5 percent in the third quarter.
Bankrate.com's weekly national survey also showed increases across the board. According to the site, the 30-year fixed averaged 4.10 percent for the week, while the 15-year fixed was up to 3.34 percent.
The 5/1 ARM, meanwhile, ticked up slightly to 3.18 percent, Bankrate reported.