Weekly rates on single-family loans moved higher, and it was a similar story for monthly rates. Forecasts call for further ascension in the upcoming week and year.
On conforming fixed-rate loans to finance a home purchase, LendingTree said its network of lenders
offered annual percentage rates that averaged 4.42 percent in December 2017.
In addition to increasing 12 basis points from the preceding month, average 30-year fixed-rate APRs climbed to the highest level since July 2016.
Last month’s average was just 3.80 percent for borrowers with the best profiles.
Refinance APRs averaged 4.31 percent, rising 7 BPS from November.
In the week ended Jan. 11, thirty-year fixed rates averaged 3.99 percent, according to Freddie Mac’s Primary Mortgage Market Survey.
The 30 year ascended from the previous seven-day period, when the average was 3.95 percent. But the average retreated from 4.12 percent in the same-seven days last year.
A majority of panelists surveyed by Bankrate.com for the week Jan. 10 to Jan. 16 predicted interest rates will increase over the next week. No change was predicted by 31 percent, and just 7 percent expected rates to fall at least 3 BPS.
Robert Dietz, the chief economist for the National Association of Home Builders, recently said that the trade group expects
mortgage rates to climb from 4 percent to 4.5 percent by the end of this year.
Jumbo interest rates were 22 BPS more than conforming rates in the The U.S. Mortgage Market Index report from Mortgage Daily and OpenClose for the week ended Jan. 5, the same as the prior week.
Freddie reported average 15-year fixed rates at 3.44 percent, 6 BPS worse than in the week ended Jan. 4. The difference between 15- and 30-year rates was
55 BPS, less than 57 BPS in the last report.
At 3.46 percent, five-year, Treasury-indexed, hybrid, adjustable-rate mortgages were just a basis point more than in Freddie’s last survey.
The yield on the one-year Treasury note, which determines rate changes on hybrid ARMs, closed Thursday at 1.77 percent, falling from 1.82 percent the preceding Thursday, according to Treasury Department data.
Another ARM index, the more obscure six-month London Interbank Offered Rate, was 1.87 percent as of Wednesday,
climbing from 1.84 percent seven days earlier, according to Bankrate.com.
At 10.7 percent in the latest Mortgage Market Index report, ARM share was thinner than 15.3 percent a week earlier.
