WASHINGTON–Mortgage rates have declined to the point where they are just above their low point for the year.
According to data from Freddie Mac, as of last week the 30-year fixed-rate mortgage (FRM) averaged 3.61% with an average 0.6 point for the week ending May 5, 2016, down from last week when it averaged 3.66%. A year ago at this time, the 30-year FRM averaged 3.80%.
The 15-year FRM last week, meanwhile, averaged 2.86% with an average 0.5 point, down from one week earlier when it averaged 2.89%. At this time in 2015, the 15-year FRM averaged 3.02%.
Freddie mac said the five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.80% last week with an average 0.5 point, down from a week earlier when it averaged 2.86%. A year ago, the five-year ARM averaged 2.90%.
"The Fed's decision to stand pat followed by a week of assorted unsettling news drove Treasury yields lower, says Sean Becketti, chief economist, Freddie Mac, in a released statement. “As a consequence, the 30-year mortgage rate drifted down to 3.61%, just three basis points above the low for the year. Since the start of February, mortgage rates have varied within a narrow range providing an extended period for house hunters to take advantage of historically low rates."