The benchmark 30 Year Fixed Rate Mortgage dipped to its lowest level in two months. Week over week the decrease was eighteen basis points (.018%) and is now at 4.320%. The news was not a surprise to market experts as the Federal Reserve has maintained its policy to continue to buy bonds to stimulate a recovering economy. The impact bodes well in allowing consumer confidence to keep pace.
Mortgage rates still affordable
Although rates are still at historic lows, housing is an important economic metric and affordable mortgages are crucial to insure there is sufficient consumer appetite. The popular 15 Year Mortgage also decreased and now sits at 3.370%.
The rate survey
The Freddie Mac rate survey is an industry standard used to validate consumer demand as well as accurate reporting on rates. They offer a trend as actual rates have many variables based on borrower characteristics, transaction type and credit profile. The data is compiled from lenders who sell originate mortgages and sell them to Freddie Mac.
Complete listing of rates are here.