Rates Decline

The average 30-year fixed mortgage rate fell from 6.67% to 6.62% over the seven-day period ended June 8, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate fell from 6.26% to 6.23%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages fell from 6.26% to 6.20%, and the average rate for one-year Treasury-indexed ARMs declined from 5.68% to 5.63%, Freddie Mac reported. Fees and points averaged 0.5 of a point for fixed-rate mortgages and hybrid ARMs and 0.8 of a point for one-year ARMs. "Mortgage rates are down a little this week on news of disappointing job growth in May coupled with downward revisions for the previous two months," said Frank Nothaft, Freddie Mac's chief economist. "The slight drop in long-term rates reflects a cautiously optimistic outlook in the market that core inflation remains contained." A year ago, the average 30-year and 15-year fixed rates were 5.56% and 5.14%, respectively, and the average one-year ARM rate was 4.21%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.