Mortgage rate levels dropped again last week. The average 30-year fixed loan rate is now sitting at 4.44%, down from 4.49% last week. The 15-year fixed rate fell to 3.92%, from 3.95% the week prior. Mortgage rates are being pushed down by the weak economy and the Federal Reserve’s decision to purchase government debt. Adding to recession concerns, the latest jobs report has investors worried that we are heading back into the recession. More money is being shifted into the safety of Treasury bonds, lowering their yields. Unfortunately, these low rates have not been enough to spark home sales. Applications from homeowners looking to refinance their current mortgage have increased, but are not anywhere near the boom level we once saw.
Trackbacks/Pingbacks
[...] would think that the presence of historically low mortgage rates and an increased willingness of lenders to complete short sales on distressed properties would help [...]