DAILY REAL ESTATE NEWS | FRIDAY, SEPTEMBER 30, 2016
Borrowing costs moved lower for home buyers and refinancers this week. The 30-year fixed-rate mortgage dropped to its lowest average in nearly three months.
"Investors flocked to the safety of government bonds causing the 10-year Treasury yield to continue its descent following the FOMC's decision to leave rates unchanged,” says Sean Becketti, Freddie Mac’s chief economist. “The 30-year fixed-rate mortgage responded by dropping 6 basis points before landing at 3.42 percent -- a ten-week low. The course of the economy is uncertain, yet consumers continue to be a bright spot. The September consumer confidence index is up 3 percent to 104.1, exceeding forecasts and reaching a new cycle high."
Freddie Mac reports the following national averages with mortgage rates for the week ending Sept. 29:
30-year fixed-rate mortgages:averaged 3.42 percent, with an average 0.5 point, falling from last week’s 3.48 percent average. Last year at this time, 30-year rates averaged 3.85 percent.
15-year fixed-rate mortgages:average 2.72 percent, with an average 0.5, falling from last week’s 2.76 percent average. A year ago, 15-year rates averaged 3.07 percent.
5-year hybrid adjustable-rate mortgages:averaged 2.81 percent, with an average 0.4 point, rising from last week’s 2.80 percent average. A year ago, 5-year ARMs averaged 2.91 percent.