Tags: Mortgage Rates

Mortgage Rates Edge Slightly Higher, 30-Year at 3.68 Percent

Mortgage Rates Edge Slightly Higher, 30-Year at 3.68 Percent
(Valentin Armianu/Dreamstime)

Wednesday, 27 November 2019 02:50 PM

U.S. mortgage rates crept slightly higher this week but remain at low levels that could encourage more home-buying.

Mortgage buyer Freddie Mac said Wednesday that the average rate on a fixed 30-year mortgage ticked up to 3.68% from 3.66% the previous week. The average 15-year mortgage was unchanged at 3.15%.

Borrowing costs have fallen sharply in the past year, helping lift home sales and construction. The 30-year rate was 4.8% at the same time last year, while the 15-year rate was 4.25%. Sales of existing homes increased 4.6% in October compared with a year ago, while new home sales have soared by more than 30%.

Freddie Mac surveys lenders across the country between Monday and Wednesday each week to compile its mortgage rate figures.

Meanwhile,  mortgage applications increased 1.5 percent from one week earlier, according to data from the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey for the week ending November 22. This week's results are being compared to the week of Thanksgiving 2018.

The Market Composite Index, a measure of mortgage loan application volume, increased 1.5 percent on a seasonally adjusted basis from one week earlier, the MBA said. On an unadjusted basis, the Index increased 11 percent compared with the previous week.

The Refinance Index increased 4 percent from the previous week and was 314 percent higher than the same week one year ago. The seasonally adjusted Purchase Index decreased 1 percent from one week earlier. The unadjusted Purchase Index increased 4 percent compared with the previous week and was 55 percent higher than the same week one year ago.

"Mortgage rates stayed below 4 percent for the second straight week and borrowers responded positively, with mortgage applications rising 1.5 percent on the back of increases in both refinance and purchase activity," said Joel Kan, MBA's Associate Vice President of Economic and Industry Forecasting. "Refinances have been strong this month, but we are starting to see the average pace slow compared to the peak experienced in August through October."

Added Kan, "The annual increase in refinance and purchase activity was even more prominent in this report because Thanksgiving was a week earlier last year. However, with roughly five weeks of reporting data left in 2019, the mortgage market is on track for its best year for originations since 2007."

The refinance share of mortgage activity increased to 62.0 percent of total applications from 59.5 percent the previous week. 

© Copyright 2019 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

   
1Like our page
2Share
Personal-Finance
U.S. mortgage rates crept slightly higher this week but remain at low levels that could encourage more home-buying.Mortgage buyer Freddie Mac said Wednesday that the average rate on a fixed 30-year mortgage ticked up to 3.68% from 3.66% the previous week. The average...
Mortgage Rates
401
2019-50-27
Wednesday, 27 November 2019 02:50 PM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved