Rates Climb Further

The average 30-year fixed mortgage rate rose to 6.44% for the week ending Sept. 5 from 6.32% the previous week, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate rose from 5.66% to 5.77%, and the average rate for one-year Treasury-indexed adjustable-rate mortgages climbed from 3.88% to 3.98%. Fees and points averaged 0.6 points for all three mortgage categories. "The 10-year Treasury bond yields continue to climb, raising mortgage rates as they go," said Amy Crews Cutts, Freddie Mac's deputy chief economist. "Also contributing to the current rise in rates is the growing number of favorable news reports about an upturn in economic growth. It is important to note that we are also seeing a moderation in the rate of house price appreciation, and that should help counter higher mortgage rates, keeping housing affordable and the industry busy." A year ago, the average 30-year and 15-year fixed rates were 6.15% and 5.56%, respectively, and the average one-year ARM rate was 4.35%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.