NEW YORK, NY - Mortgage rates were largely unchanged with the benchmark 30-year fixed mortgage rate holding at 4.27 percent, according to Bankrate.com's weekly national survey. The average 30-year fixed mortgage has an average of 0.32 discount and origination points.
The average 15-year fixed mortgage inched higher to 3.38 percent, while the larger jumbo 30-year fixed mortgage rate sank to 4.35 percent. Adjustable rate mortgages were mixed, with the popular 5-year adjustable ticking down to 3.26 percent and the 10-year adjustable rate holding at 3.94 percent.
Lingering worries about what, if any, damage the government shutdown and debt ceiling debate had on the economy is keeping bond yields and mortgage rates in a holding pattern. Mortgage rates are closely related to yields on long-term government bonds. As we play catch-up on economic data, and get a read on the economy over the next month or so, this uncertainty should keep a lid on mortgage rates.
As recently as May 1st, the average 30-year fixed mortgage rate was 3.52 percent. At that time, a $200,000 loan would have carried a monthly payment of $900.32. With the average rate currently at 4.27 percent, the monthly payment for the same size loan would be $986.22, a difference of nearly $86 per month for anyone that waited too long.
SURVEY RESULTS
30-year fixed: 4.27% -- unchanged from last week (avg. points: 0.32)
15-year fixed: 3.38% -- up from 3.37% last week (avg. points: 0.23)
5/1 ARM: 3.26% -- down from 3.27% last week (avg. points: 0.26)
Bankrate's national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in the top 10 markets.
For a full analysis of this week's move in mortgage rates, go to www.bankrate.com
The survey is complemented by Bankrate's weekly Rate Trend Index, in which a panel of mortgage experts predicts which way the rates are headed over the next seven days. Nearly three-quarters of respondents, 70 percent, expect mortgage rates to remain more or less unchanged over the coming week, while 20 percent predict mortgage rates will resume falling. Just 10 percent forecast an increase in mortgage rates in the next week.