Fixed mortgage rates decreased this week after six straight weeks of increases, Freddie Mac reported June 20 in its weekly Primary Mortgage Market Survey.
The 30-year fixed-rate fell 0.05 percent since last week to 3.93 percent (up from 3.66 percent a year ago). The 15-year fixed-rate slipped 0.06 percent to 3.04 percent (up from 2.95 percent a year ago).
The one-year adjustable-rate mortgage decreased 0.01 percent to 2.57 percent (down from 2.74 percent a year ago). The five-year Treasury-indexed stayed fixed at 2.79 percent (down from 2.77 percent a year ago).
“Mortgage rates were relatively unchanged this week as market participants awaited the Federal Reserve's monetary policy announcement,” Frank Nothaft, Freddie Mac vice president and chief economist, said in a news release. “The Fed stated that economic growth has been expanding at a moderate pace and that labor market conditions have shown further improvement, although the unemployment rate remains elevated. It noted inflation has been running below the Fed's longer-run objective as well” he said. “As a result, the Fed will continue its bond-buying program at the current pace and maintain its highly accommodative monetary policy stance.”
“The Fed also affirmed that the housing sector has strengthened further,” Nothaft continued. “For instance, single-family housing permits increased nearly 2 percentage points in May to an annualized pace of 649,000 homes, the most since May 2008. In addition, homebuilder confidence in June rose to its highest reading since March 2006.”
View Freddie Mac’s weekly Primary Mortgage Market Survey.