Long-Term Mortgage Rates Hold Steady

McLEAN, Va. – Long-term mortgage rates were virtually unchanged this week, for the third week in a row, according to Freddie Mac. The average for the 30-year, fixed-rate loan held steady at 6.16%; while the average for the 15-year, fixed-rate mortgage dipped slightly to 5.86%, from 5.90% last week. ARM rates were mixed, with the average for the one-year ARM rising slightly to 5.43% this week, from 5.40% last week; and the average for the five-year ARM dipping to 5.88%, from 5.91%. "Despite concerns about possible spillovers from the troubles in the subprime market, rates on 30-year fixed-rate mortgages remained stable," said Frank Nothaft, chief economist for Freddie Mac. He noted the conflicting signals, with the drop in February new-home sales "suggesting that more time will be needed before a housing recovery takes place," while the rise in existing-home sales "offered some hope of firming in housing demand."