Mortgage rates have dropped to record low levels, according to a survey by McLean-based Freddie Mac.
The company’s Primary Mortgage Market Survey shows 30-year fixed rate mortgages averaged 4.15 percent for the week ending Thursday, breaking the previous record low of 4.17 percent set Nov. 11, 2010.
The 30-year fixed rate mortgage averaged 4.32 percent last week. Last year at this time, the rate averaged 4.42 percent.
In addition, 15-year fixed-rate mortgages this week averaged 3.36 percent , down from last week when it averaged 3.50 percent. A year ago at this time, the 15-year fixed rate averaged 3.90 percent.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.08 percent this week, down 3.13 percent last week. A year ago, the 5-year ARM averaged 3.56 percent.
The 1-year Treasury-indexed ARM averaged 2.86 percent this week, down from last week when it averaged 2.89 percent. At this time last year, the 1-year ARM averaged 3.53 percent.
“The Federal Reserve’s policy statement last week and ongoing market concerns over the European debt market carried momentum into this week allowing all mortgage products in our survey to reach all-time record lows. For instance, 30-year fixed mortgage rates are now the lowest in over 50 years” said Frank Nothaft, the vice president and chief economist at Freddie Mac.
The Bureau of Economic Analysis estimated the average effective mortgage rate was about 5.3 percent on single-family loans outstanding during the second quarter of 2011.
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