FREDDIE MAC: Fixed Mortgage Rates Jump 'Strongly'

FREDDIE MAC: Fixed Mortgage Rates Jump 'Strongly'

Freddie Mac (OTCQB: FMCC) on Thursday, Dec. 5, 2013 released the results of its Primary Mortgage Market Survey® (PMMS®), showing average fixed mortgage increasing strongly following better than expected reports on private job growth and new home sales. 

"Fixed mortgage rates increased this week following stronger than expected economic data releases," said Frank Nothaft, Freddie Mac's vice president and chief economist. "Private companies added 215,000 new jobs in November according to the ADP employment report, well above the consensus. In addition, revisions added 54,000 jobs in the prior month. Lastly, new home sales rose 25 percent in the month of October to a seasonally adjusted 444,000 annual pace, though this followed a weaker than expected September report and downward revisions over the summer months."

News Facts

  • 30-year fixed-rate mortgage (FRM) averaged 4.46 percent with an average 0.5 point for the week ending December 5, 2013, up from last week when it averaged 4.29 percent. A year ago at this time, the 30-year FRM averaged 3.34 percent. 
  • 15-year FRM this week averaged 3.47 percent with an average 0.4 point, up from last week when it averaged 3.30 percent. A year ago at this time, the 15-year FRM averaged 2.67 percent. 
  • 1-year Treasury-indexed ARM averaged 2.59 percent this week with an average 0.4 point, down from last week when it averaged 2.60 percent. At this time last year, the 1-year ARM averaged 2.55 percent. 

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following links for the Regional and National Mortgage Rate Details and Definitions. Borrowers may still pay closing costs which are not included in the survey.


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