Rates Decline

The average 30-year fixed mortgage rate fell from 6.37% to 6.34% over the seven-day period ended March 16, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate fell from 6.00% to 5.98%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages decreased from 6.03% to 5.93%, and the average rate for one-year Treasury-indexed ARMs declined from 5.45% to 5.37%, Freddie Mac reported. Fees and points averaged 0.7 of a point for fixed-rate mortgages and hybrid ARMs, and 0.8 of a point for one-year ARMs. "Financial markets, hedging against the potential build-up in inflation, pushed mortgage rates higher last week," said Frank Nothaft, Freddie Mac's chief economist. "However, market indicators this week seemed to point to less of a threat of inflation, and that allowed rates to drift a little lower." A year ago, the average 30-year and 15-year fixed rates were 5.95% and 5.47%, respectively, and the average one-year ARM rate was 4.20%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.