Average fixed mortgage rates remained near their highest level of the year before bond yields began moving even higher Wednesday afternoon, according to Freddie Mac.
The 30-year fixed-rate mortgage averaged 3.87% with an average 0.6 point for the week ending June 4, 2015, unchanged from last week. A year ago at this time, the 30-year FRM averaged 4.14%.
“Mortgage rates were little changed for the week following mixed economic data before bond yields began moving higher Wednesday afternoon. Although real GDP growth was revised down to a negative 0.7% annualized rate, the Institute for Supply Management reported a modest growth in the manufacturing sector in May,” said Len Kiefer, deputy chief economist for Freddie Mac. “If the Wednesday surge of treasury yields persists, the impact on mortgage rates is likely to result in a bout of affordability shock to many housing markets across the country.”
The 15-year FRM this week averaged 3.08% with an average 0.5 point, down from last week when it averaged 3.11%. A year ago at this time, the 15-year FRM averaged 3.23%.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.96% this week with an average 0.5 point, up from last week when it averaged 2.90%. A year ago, the 5-year ARM averaged 2.93%.
The 1-year Treasury-indexed ARM averaged 2.59% this week with an average 0.2 point, up from last week when it averaged 2.50%. At this time last year, the 1-year ARM averaged 2.40%.