Average fixed mortgage rates reversing course and nudging higher for the first time in four weeks, according to Freddie Mac.
The 30-year fixed-rate mortgage averaged 3.94% with an average 0.6 point for the week ending August 13, 2015, up from last week when it averaged 3.91%. A year ago at this time, the 30-year FRM averaged 4.12%.
“The jobs report for July showed that the economy added 215,000 jobs, in line with expectations. Wage growth remains modest at 2.1% compared to the same time last year, and another solid if not stellar employment report leaves a potential Fed rate hike on the table for September,” said Sean Becketti, chief economist, Freddie Mac.
“However, this year’s theme of overseas economic turbulence continues with the focus shifting east to China. Over the past few days the Chinese Yuan has fallen sharply,” he said. “In the midst of these mixed data mortgage rates inched up, increasing 3 basis points to 3.94%. Headed into the fall, we’ll likely see continued interest rate tension, with dollar appreciation weighing against possible Fed rate hikes leaving the rate outlook clouded.”
The 15-year FRM this week averaged 3.17% with an average 0.6 point, up from last week when it averaged 3.13%. A year ago at this time, the 15-year FRM averaged 3.24%.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.93% this week with an average 0.5 point, down from last week when it averaged 2.95%. A year ago, the 5-year ARM averaged 2.97%.
The 1-year Treasury-indexed ARM averaged 2.62% this week with an average 0.3 point, up from last week when it averaged 2.54%. At this time last year, the 1-year ARM averaged 2.36%.