U.S. mortgage rates fell for a third straight week, to the lowest level on record, extending a slide in borrowing costs as housing demand slumps.

Rates for 30-year fixed loans declined to 4.19% in the week ended Thursday, from 4.27%, Freddie Mac said in a statement. This was the lowest since the McLean, Va., company began tracking the data in 1971. The average 15-year rate tumbled to 3.62%, from 3.72%.

A six-month decline in mortgage rates has spurred a surge in refinancings while doing little to increase property demand as joblessness hovers near 10%.

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