Mortgage Rate News & Analysis

Mortgage Rate News & Analysis

Mortgage Rate News & Analysis
During the month of August, according to data from mortgage finance company Freddie Mac, interest rates on long-term mortgage loans fell dramatically, even reaching a new all-time record low.

During the first week, the average rate on a 30-year fixed rate mortgage (FRM) sank to 4.39 percent, excluding points, from 4.55 percent during the last week of July. Rates on the 15-year FRM dropped to 3.54 percent from 3.66 percent and the one-year adjustable rate mortgage (ARM) carried an average rate of 3.02 percent, up from 2.95 percent the previous week.
Frank Nothaft, Freddie Mac vice president and chief economist blamed several factors for the drop. "Treasury bond yields fell markedly after signs the economy was weaker than what markets had previously thought allowing fixed mortgage rates to follow this week with the 15-year fixed and 5-year ARM setting new historical lows," he commented. "The economy grew 1.3 percent in the second quarter, which was below the market consensus forecast, and first quarter growth was cut to less than a quarter of what was originally reported. In fact, the first half of this year was the worst six-month period since the economic recovery began in June 2009. Moreover, consumer spending fell 0.2 percent in June, representing the first decline since September 2009.

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Australia's ANZ Bank Raises Mortgage Rates

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article from http://www.irealtytimes.com/articles/2240/20120413/australias-anz-bank-r...
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Australia and New Zealand Banking Group, Australia's fourth-largest bank, said on Friday it has raised mortgage rates, citing continued pressures on wholesale funding and cost of deposits.
The move, which was by and large unexpected after Australia's central bank kept rates on hold at this month's meeting, may provide a catalyst for rival banks follow suit.
ANZ said in a statement it raised its standard variable mortgage rate by 0.06 percent per annum, to 7.42 percent, the second-highest of the country's big four banks. National Australia Bank has the lowest rate of 7.31 percent.

Movements in mortgage rates have a big economic impact in Australia where more than 90 percent of all home loans are variable. More than a third of Australia's 8.5 million households have a mortgage.

For an average mortgage of $280,000, the 0.06 percent increase will add $3.25 per week to the loan, ANZ said. The rate hike is effective April 20.

The bank said ...


Freddie Mac interest Rates

These are for the month of October 2012

Compilation of Weekly Survey Data for 2012

2012 Weekly Mortgage Rates Data [XLS]

October 25, 2012
Regional Breakdown 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 3.41 % 2.72 % 2.75 % 2.59 %
Fees & Points 0.7 0.6 0.6 0.4
Margin N/A N/A 2.75 2.76

October 18, 2012
Regional Breakdown 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 3.37 % 2.66 % 2.75 % 2.60 %
Fees & Points 0.7 0.6 0.6 0.4
Margin N/A N/A 2.74 2.77

October 11, 2012
Regional Breakdown 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 3.39 % 2.70 % 2.73 % 2.59 %
Fees & Points 0.7 0.6 0.6 0.4
Margin N/A N/A 2.74 2.77

October 4, 2012
Regional Breakdown 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 3.36 % 2.69 % 2.72 % 2.57 %
Fees & Points 0.6 0.5 0.6 0.4
Margin N/A N/A 2.74 2.76

Randy Bailiff
Dean Graziosi Investment and Life Coach


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