Fixed Rates Climb

The average 30-year fixed mortgage rate rose to 5.69% for the week ending Feb. 25 from 5.62% the previous week, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate rose from 5.14% to 5.22%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages was unchanged at 5.05%, and the average rate for one-year Treasury-indexed ARMs rose from 4.15% to 4.16%. Fees and points averaged 0.7 of a point for fixed-rate mortgages and 0.8 of a point for ARMs. "Mortgage rates moved up for the second week in a row on concerns about a pick-up in inflation showing up in raw materials," said Frank Nothaft, Freddie Mac's chief economist. "However, a broader measure of inflation, the Consumer Price Index, posted a less-than-expected rise in inflation, causing bond yields to fall. This means that next week's survey results may retreat to prior levels of a week or two ago." A year ago, the average 30-year and 15-year fixed rates were 5.58% and 4.89%, respectively, and the average one-year ARM rate was 3.50%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.