There has been little weekly change in long-term interest rates on home loans. Various indices for adjustable-rate mortgages were all over the board.
For the month of April, annual percentage rates offered to borrowers on conforming 30-year fixed-rate mortgages for home purchases averaged 4.92 percent, LendingTree reported.
Average APRs on long-term mortgages moved up significantly compared to the preceding month, when 30-year fixed rates were 4.85 percent.
LendingTree said last month’s best offers for applicants with excellent credit were at 4.26 percent, up a basis point from March.
At 4.55 percent in the week ended May 10, thirty-year fixed rates in Freddie Mac’s Primary Mortgage Market Survey were no different than the prior week.
“The minimal movement of mortgage rates in these last three weeks reflects the current economic nirvana of a tight labor market, solid economic growth and restrained inflation,” Freddie Mac Chief Economist Sam Khater explained in the report..
But long-term mortgage rates are perched well above the same seven-day period during the prior year, when 30-year fixed rates averaged 4.05 percent.
An increase of at least 3 BPS was predicted for mortgage rates over the next week by 64 percent of panelists surveyed by Bankrate.com for the week May 9 to May 15. No change was expected by 36 percent, and none projected a decline.
In the U.S. Mortgage Market Index report from Mortgage Daily and OpenClose for the week ended May 4, jumbo rates were 11 BPS higher than conforming rates. The spread tightened from 17 BPS the previous week.
Freddie reported average 15-year fixed rates at 4.01 percent, 2 BPS less than in last week’s report. Fifteen-year rates were 54 BPS less than 30-year rates, more than the 52 BPS as of the previous survey.
Rates jumped 8 BPS on five-year, Treasury-indexed, hybrid adjustable-rate mortgages to 3.77 percent in Freddie’s survey.
Treasury Department data indicate the yield on the one-year Treasury note closed Thursday at 2.27 percent, up 3 BPS from seven days prior.
The six-month London Interbank Offered Rate was reported by Bankrate.com at 2.52 percent as of Wednesday, a basis point higher than the preceding Wednesday.
At 1.72 percent as of Wednesday, the Secured Overnight Financing Rate dropped 3 BPS from one week earlier, according to the Federal Reserve Bank of New York.
ARM share in the most-recent Mortgage Market Index report was 20.8 percent — the widest it has been in two years.
