Mortgage rates end the week flat
Mortgage rates remained unchanged from last week even through the 10-year Treasury yield first moved lower then spiked up during the period, according to Freddie Mac.
|30-Year FRM||15-Year FRM||5/1-Year ARM|
|Fees & Points||0.6||0.5||0.5|
The 30-year fixed-rate mortgage averaged 3.83% for the week ending Sept. 28, the same as last week. A year ago at this time, the 30-year fixed-rate mortgage averaged 3.42%.
This week-to-week snapshot does not show the gyrations in the 10-year Treasury yield that took place during the week.
The 10-year Treasury closed at 2.28% on Sept. 21. By Sept. 25, it slipped to 2.22% before increasing by 2 basis points on Sept. 26. But the yield spiked 7 basis points to 2.31% on Sept. 27.
The 15-year fixed-rate mortgage averaged 3.13%, also the same as last week. A year ago at this time, the 15-year fixed-rate mortgage averaged 2.72%.
The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.2% this week, up from last week when it averaged 3.17%. A year ago at this time, the five-year adjustable-rate mortgage averaged 2.81%.
"Mortgage rates rose last week after the Federal Reserve announced plans to end the remnants of its recession-era policies and released a stronger-than-anticipated forecast for the U.S. economy over the next year, but fell back early this week on geopolitical news surrounding North Korea," Erin Lantz, Zillow's vice president of mortgages, said when that company released its own rate tracker on Tuesday.
"Geopolitical news is likely to continue driving financial markets this week, and rates could rise slightly if North Korea fears ease."
Friday's release of inflation and income data were also likely to influence interest rates, she added.