30-Year Rate Rebounds Above 6%

The average 30-year fixed mortgage rate rose from a two-year low of 5.96% to 6.11% over the seven-day period ended Dec. 13, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate rose from 5.65% to 5.78%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages climbed from 5.75% to 5.89%, and the average rate for one-year Treasury-indexed ARMs rose from 5.46% to 5.50%, Freddie Mac reported. Fees and points averaged 0.5 of a point for fixed-rate mortgages and 0.6 of a point for ARMs. "November's employment report showed stronger job growth, no change in the unemployment rate, and a jump in wages, suggesting to some market participants that the probability of an upcoming recession might be lower than originally thought," said Frank Nothaft, Freddie Mac's chief economist. "This led to a rise in interest rates for U.S. Treasury securities this week, and mortgage rates followed." A year ago, the average 30-year and 15-year fixed rates were 6.12% and 5.86%, respectively, and the average hybrid and one-year ARM rates were 5.92% and 5.45%, Freddie Mac said. Freddie can be found online at http://www.freddiemac.com.