Fixed Rates Inch Higher

The average 30-year fixed mortgage rate for the week ending July 3 rose to 6.98% from 6.96% the previous week, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate inched up to 6.65% from 6.64%, while the average rate for one-year Treasury-indexed adjustable-rate mortgages dipped to 5.66% from 5.68%. Fees and points averaged 1.0 for the fixed-rate mortgages and 1.1 for the ARMs. "New and existing home sales have been amazingly strong, thanks in large part to current low interest rates," said Robert Van Order, Freddie Mac's chief economist. "With signs that the economy may be cooling a little, there is nothing that would indicate interest rates will not stay low and affordable for some time to come." A year ago, the average 30-year and 15-year fixed rates were 7.62% and 7.15%, respectively, and the average one-year ARM rate was 5.67%. Freddie Mac's website address is http://www.freddiemac.com.