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Mortgage Rates Average Well Below 4 Percent

October 13, 2015 1:10 am

Average mortgage rates across the board continue to remain below 4 percent, most recently falling due to weak employment numbers. According to Freddie Mac’s Primary Mortgage Market Survey® (PMMS®), the 30-year fixed-rate mortgage averaged 3.76 percent with an average 0.6 point. The average 15-year fixed-rate mortgage dipped below 3 percent to 2.99 percent, also with an average 0.6 point.

The PMMS® also reports the 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.88 percent (with an average 0.4 point), and the 1-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.55 percent (with an average 0.2 point).

“Calling the September jobs report disappointing is an understatement,” says Sean Becketti, Freddie Mac’s chief economist. “The sputtering U.S. economy added only 142,000 jobs. To make matters worse, there were downward revisions to the prior two months. Hourly wages were flat, and the labor force participation rate fell to 62.4 percent, the lowest rate since 1977. In response, Treasury yields dipped below 2 percent, triggering a 9 basis point tumble in the 30-year mortgage rate to 3.76 percent.”

Source: Freddie Mac

Published with permission from RISMedia.