McLEAN, Va. – Mortgage rates inched up just slightly this week amid sagging consumer confidence and lower sale prices for existing homes, Freddie Mac said yesterday.
The average for the 30-year, fixed-rate loan rose to 5.07% this week, from 5.04% last week; while the average for the 15-year, fixed-rate mortgage held steady at 4.68%.
Short-term rates moved slightly higher, with the average for the five-year ARM rising to 5.06%, from 5.04%; and the average for the one-year ARM inching up to 4.81%, from 4.80%.
Frank Nothaft, chief economist for Freddie Mac, said consumer confidence fell in February to its lowest level since records began in January 1967. He said house prices are still falling, as are existing home sales.
"Lower house prices and affordable mortgage rates have yet to spur housing demand," Nothaft said.
