Long-Term Mortgage Rate Falls to Another New Low

The average rate on the 30-year fixed-rate mortgage dropped to another new low during the week ending Dec. 24, according to Freddie Mac. The average 30-year FRM rate was 5.14%, down from the low of 5.19% seen the week before and from 6.17% the same week a year ago. The average 15-year FRM rate was 4.91%, a drop from 4.92% the previous week and 5.79% the year previous. The average 15-year rate has not been lower since April 1, 2004 when it was 4.84%. The average rate on five-year hybrid adjustable-rate mortgages fell to 5.49% from 5.60% the week before and 5.90% a year ago. The average rate on one-year Treasury ARMs inched up to 4.95% from 4.94% but was down from 5.53% a year ago. Average points were 0.8 for 30-year FRMs, 0.7 for 15-year FRMs, 0.6 for five-year hybrid and one-year Treasury-indexed ARMs. "Interest rates on 30-year fixed-rate mortgages eased for the eighth straight week and set another record low since Freddie Mac's survey began in 1971," said Frank Nothaft, Freddie Mac's vice president and chief economist.