Mortgage

Freddie Mac: U.S. economic optimism spurs growth in mortgage rates

This week, the 30-year fixed-rate mortgage averaged 3.75%

This week, the average U.S. fixed rate for a 30-year mortgage rose to 3.75%. That’s 6 basis points above last week’s 3.69% but still more than a percentage point below the 4.94% of the year-earlier week, according to the Freddie Mac Primary Mortgage Market Survey.

The modest uptick in mortgage rates over the last two months reflects declining recession fears and a more sanguine outlook for the global economy, said Sam Khater, Freddie Mac’s Chief Economist.

“Due to the improved economic outlook, purchase mortgage applications rose 15% over the same week a year ago, the second-highest weekly increase in the last two years,” Khater said. “Given the important role residential real estate plays in the economy, the steady improvement of the housing market is a reassuring sign that the economy is on solid ground heading into next year.”

The 15-year FRM averaged 3.2% this week, rising from last week’s 3.13%. This time last year, the 15-year FRM came in at 4.36%.

The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.44%, increasing from last week’s rate of 3.39%. In 2018, the 5-year ARM sat much higher at  4.14%.

The image below highlights this week’s changes:

Most Popular Articles

Caliber Home Loans CEO Sanjiv Das steps down

Sanjiv Das, CEO of Caliber Home Loans, is stepping down as CEO of the company, less than one year after New Residential Investment Corp. (Newrez) acquired the mortgage lender and servicer, sources familiar with the situation confirmed. 

Latest Articles

Why It’s Time for Foreclosure Tech Innovation

Hosted by Stavvy Collateral valuation is a critical component of mortgage lending and the home sales With the federal foreclosure moratorium expiring in 2022, the market will undoubtedly see growth in foreclosure transactions as it tries to catch up on both past and present loans. The return to working foreclosure is a perfect opportunity for […]

Jan 27, 2022 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please