McLEAN, Va. – Long-term mortgage rates continued to move up this week, to their highest levels in almost three months, according to Freddie Mac.
The average for the benchmark 30-year, fixed-rate loan rose to 6.08% this week, from 5.98% last week; while the average for the 15-year, fixed-rate mortgage increased to 5.66%, from 5.55%.
ARM rates were mixed, with the average for the five-year ARM inching up to 5.62%, from 5.61% last week; and the average for the one-year ARM dipping to 5.22%, from 5.24%.
“Mortgage rates drifted up this week over market concerns that the Federal Reserve Board may raise short-term rates later this year,” said Frank Nothaft, chief economist for Freddie Mac. “A recent working paper published by the Federal Reserve Bank of Minneapolis suggested that the recent rate cuts run a risk of unhinging long-term market expectations for inflation.”
