NEW YORK, NY - Mortgage rates were up modestly this week, with the benchmark 30-year fixed mortgage rate rising to 4.06 percent, according to Bankrate.com's weekly national survey. The 30-year fixed mortgage has an average of 0.25 discount and origination points.
The larger jumbo 30-year fixed rate slipped below the 4 percent mark to 3.97 percent, the lowest since late April, and remains below the smaller conforming 30-year fixed mortgage. The average 15-year fixed mortgage ticked up to 3.28 percent. Adjustable mortgage rates nosed higher also, with the 5-year ARM reversing last week's move and settling at 3.24 percent while the 7-year ARM edged upward to 3.41 percent.
There is no real discernible trend with long-term bond yields or mortgage rates, which are both in a bit of a holding pattern pending the Federal Reserve's interest rate intentions and resolving some of the uncertainty surrounding the Chinese economy. Mortgage rates are closely related to yields on long-term government bonds. Until more economic data is seen, it remains unclear as to whether the Federal Reserve will choose to hike interest rates in September, or put it off until a later meeting.
At the current average 30-year fixed mortgage rate of 4.06 percent, the monthly payment on a $200,000 loan is $961.76.
30-year fixed: 4.06% -- up from 4.04% last week (avg. points: 0.25)
15-year fixed: 3.28% -- up from 3.26% last week (avg. points: 0.18)
5/1 ARM: 3.24% -- up from 3.20% last week (avg. points: 0.19)
Bankrate's national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in 10 top 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. The panelists are divided this week, with 42 percent predicting an increase and 42 percent expecting mortgage rates to remain more or less unchanged over the next seven days. Just 16 percent forecast a decline in the coming week.