Mortgage Keep Falling

McLEAN, Va. – Mortgage rates declined again this week to their lowest level since the beginning of the year. Freddie Mac reported yesterday the average rate on 30-year, fixed-rate loans declined to 6.18% this week, from 6.22% last week; while the average for the 15-year, fixed-rate mortgage dipped to 5.92%, from 5.97%. The decline pushed rates down to the lowest point since the 30-year mortgage was at the same 6.18% the week of Jan. 4. ARM rates also moved lower, with the average for the five-year ARM dropping to 5.93%, from 5.96% last week; and the average for the one-year ARM holding steady at 5.49%. “Mortgage rates drifted lower last week largely on the basis of new economic information suggesting a slower economy and lower inflation, said Frank Nothaft, vice chief economist for Freddie Mac. Real GDP growth for the last quarter was revised downward to a 2.2% annualized rate, compared to the 3.5% initially estimated, while the accompanying price measure showed that core inflation was tamer than first reported, at a revised 1.9% annualized rate.”