Source: BankRate.com / #Housing #Economy
NEW YORK, NY - Mortgage rates fell slightly over the past week, according to Bankrate.com's weekly national survey. The benchmark 30-year fixed mortgage rate dropped to 4.27% and the 15-year fixed rate declined to 3.44%.
The jumbo 30-year fixed mortgage rate and the 5-year ARM were lower as well, to 4.29% and 3.29%, respectively.
Mortgage rates slipped for a second consecutive week as worries about global economic growth mounted. Adding further uncertainty to financial markets were the pro-Democracy protests in Hong Kong. The nervousness of investors – regardless of the cause – helped bring bond yields and mortgage rates lower. Mortgage rates are closely related to yields on long-term government bonds.
As 2013 came to a close, the average 30-year fixed mortgage rate was 4.69%. At that time, a $200,000 loan carried a monthly payment of $1,036. Mortgage rates have moved lower thus far in 2014, and with the average rate now 4.27%, the monthly payment for the same size loan would be $986, a savings of $50 per month for anyone that waited.
30-year fixed: 4.27% -- down from 4.30% last week (avg. points: 0.21)
15-year fixed: 3.44% -- down from 3.46% last week (avg. points: 0.16)
5/1 ARM: 3.29% -- down from 3.32% last week (avg. points: 0.13)
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. Half of the panelists expect mortgage rates to fall, 42% believe rates will remain more or less unchanged and only eight percent say they will rise.