Borrowing costs are rising: The 30-year fixed-rate mortgage increased to a 3.47 percent average this week. Despite the uptick, rates still remain near historical lows.
“This week, the 10-year Treasury yield continued its climb as an increasing number of financial market participants foresee a December rate hike after a series of positive economic data releases,” says Sean Becketti, Freddie Mac’s chief economist. “The 30-year fixed-rate mortgage moved up 5 basis points to 3.47 percent in this week’s survey, the first increase in one month. Even though we’ve seen economic activity pick up, consumer price inflation and implied inflation expectations remain below the Federal Reserve’s 2 percent target.”
Freddie Mac reports the following national averages with mortgage rates for the week ending Oct. 13:
- 30-year fixed-rate mortgages: averaged 3.47 percent, with an average 0.6 point, rising from last week’s 3.42 percent average. Last year at this time, 30-year rates averaged 3.82 percent.
- 15-year fixed-rate mortgages: averaged 2.76 percent, with an average 0.6 point, increasing from last week’s 2.72 percent average. A year ago, 15-year rates averaged 3.03 percent.
- 5-year hybrid adjustable-rate mortgages: averaged 2.82 percent, with an average 0.4 point, increasing from last week’s 2.80 percent average. A year ago, 5-year ARMs averaged 2.88 percent.
Source: Freddie Mac