Quantcast
  

Wednesday, April 23, 2014         

 Print   Email   Comment | View 0 Comments   Most Popular   Save   Post   Retweet

Rate on 30-year mortgage rises slightly

By Marcy Gordon

AP Business Writer

POSTED:
LAST UPDATED: 11:10 a.m. HST, May 09, 2013


WASHINGTON » Average U.S. mortgage rates rose this week but remained near historic lows. Cheaper mortgages have encouraged more home buying and refinancing.

Mortgage buyer Freddie Mac said today that the average rate for the 30-year fixed mortgage edged up to 3.42 percent from 3.35 percent last week. That's still near the average of 3.31 percent reached in November, the lowest on records dating to 1971.

The average on the 15-year fixed-rate loan rose to 2.61 percent from 2.56 percent last week, which was the lowest on records going back to 1991.

Low mortgage rates have buttressed the housing recovery that began last year. Home sales and construction are up from a year ago, and prices are rising in most U.S. markets.

A survey released Tuesday showed that U.S. home prices rose 10.5 percent in March compared with a year earlier, the biggest year-over-year gain since March 2006.

The survey from Core Logic, a real estate data provider, showed that year-over-year prices have risen for 13 straight months. Prices are rising in part because more buyers are bidding on a limited supply of homes for sale.

Prices rose in 46 states over the past year. Eleven states posted double-digit gains.

And excluding distressed sales, which comprise foreclosures and short sales, prices rose in every state. A short sale is when a home sells for less than what's owed on the mortgage.

Sales are rising in some markets hit hardest by the housing bust in part because investors are scooping up homes in hopes of turning a profit.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country on Monday through Wednesday each week. The average doesn't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.

The average fee for 30-year mortgages was 0.7 point, unchanged from last week. The fee for 15-year loans also held steady at 0.7 point.

The average rate on a one-year adjustable-rate mortgage fell to 2.53 percent from 2.56 percent last week. The fee for one-year adjustable-rate loans rose to 0.4 point from 0.3 point.

The average rate on a five-year adjustable-rate mortgage increased to 2.58 percent from 2.56 percent. The fee was unchanged at 0.5 point.







 Print   Email   Comment | View 0 Comments   Most Popular   Save   Post   Retweet

COMMENTS
(0)
You must be subscribed to participate in discussions
By participating in online discussions you acknowledge that you have agreed to the TERMS OF SERVICE. An insightful discussion of ideas and viewpoints is encouraged, but comments must be civil and in good taste, with no personal attacks. Because only subscribers are allowed to comment, we have your personal information and are able to contact you. If your comments are inappropriate, you may receive a warning, and if you persist with such comments you may be banned from posting. To report comments that you believe do not follow our guidelines, email commentfeedback@staradvertiser.com.
Leave a comment

Please login to leave a comment.
IN OTHER NEWS
Breaking News
Blogs