Mortgage Rates Dip Again

McLEAN, Va. – Mortgage rates fell for the second week in a row, after reaching a 12-month high two weeks ago, according to Freddie Mac. The average for the benchmark 30-year, fixed-rate loan slipped slightly to 6.67% this week, from 6.69% last week; while the average for the 15-year, fixed-rate mortgage dipped to 6.34%, from 6.37%. ARM rates also slipped, but only slightly, with the average for the five-year ARM declining to 6.30%, from 6.31%; and the average for the one-year ARM slipping to 5.65%, from 5.66%. Frank Nothaft, chief economist for Freddie Mac, said housing indicators continue to decline. "This week we saw further effects of the current housing recession," said Nothaft. "May's existing home sales fell 0.3 percent to the slowest pace since June 2003, and the number of months houses were available for sale rose to 8.9, the longest since June 1992."