Mortgage Rates Inch Up For 4th Week
Long-term mortgage rates moved higher last week, for the fourth week in a row, according to Freddie Mac. The average for the benchmark 30-year, fixed-rate loan climbed to 5.82% last week from 5.77% lone week earlier, while the average for the 15-year, fixed-rate loan rose to 5.38% from 5.34%. ARM rates also inched upwards, with the average for the one-year ARM rising to 4.47% from 4.46%, and the average for the five-year ARM going to 5.30%, from 5.27%. "Long-term mortgage rates will more than likely rise over the next few months, albeit modestly compared to shorter-term rates," said Frank Nothaft, chief economist at Freddie Mac. "As the Federal Reserve increases its targeted overnight-lending rate, home-equity loans will become more costly. This is because many home-equity loans are tied to the prime rate, which generally follows every Fed rate hike."