The 30-year fixed-rate mortgage -- the most popular choice among home buyers -- is now a full percentage point lower than a year ago, Freddie Mac reports in its weekly mortgage market survey. Fixed-rate mortgages have been on a record-breaking streak the last few weeks, pushing home affordability even higher.
Market concerns over the strength of the economic recovery brought long-term Treasury yields to new lows this week allowing fixed mortgage rates to reach record levels,” says Frank Nothaft, Freddie Mac’s chief economist.
Here’s a closer look at rates for the week ending July 26:
- 30-year fixed-rate mortgages: averaged a new low of 3.49 percent, with an average 0.7 point, beating last week’s previous record of 3.53 percent. A year ago, 30-year fixed-rate mortgages averaged 4.55 percent.
- 15-year fixed-rate mortgages: averaged a new record low of 2.80 percent, with an average 0.7 point, dropping from last week’s previous record-low of 2.83 percent.Last year at this time, 15-year rates averaged 3.66 percent.
- 5-year adjustable-rate mortgages: averaged 2.74 percent, with an average 0.6 point, rising from last week’s record low of 2.69 percent. Last year at this time, 5-year ARMs averaged 3.25 percent.
- 1-year ARMs: averaged 2.71 percent, with an average 0.5 point, also rising from last week’s 2.69 percent average. A year ago, 1-year ARMs averaged 2.95 percent.