30-Year Rate Hits 6-Month Low

The average 30-year fixed mortgage rate fell from 6.98% to 6.91% for the week ending July 10, its lowest level since the 6.89% recorded for the week ended Jan. 16, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate declined to 6.60% from 6.65%, and the average rate for one-year Treasury-indexed adjustable-rate mortgages dipped to 5.60% from 5.66%, the lowest levels for those two rates since the week ended Feb. 20. Fees and points averaged 1.1 for each category. Frank Nothaft, Freddie Mac's deputy chief economist, said Freddie Mac expects low rates to continue through the summer, adding that "it looks as though 1998 will register the lowest annual mortgage rate in 30 years." A year ago, the average 30-year and 15-year fixed rates were 7.47% and 7.01%, respectively, and the average one-year ARM rate was 5.53%. Freddie Mac's website address is http://www.freddiemac.com.