Rates Dip Further

The average 30-year fixed mortgage rate fell to 5.78% for the seven-day period ending April 28 from 5.80% the previous week, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate decreased from 5.36% to 5.33%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages declined from 5.22% to 5.20%, and the average rate for one-year Treasury-indexed ARMs fell from 4.26% to 4.21%. Fees and points averaged 0.6 of a point for fixed-rate mortgages and one-year ARMs and 0.5 of a point for hybrid ARMs. "The market was disappointed on the news of lower consumer confidence and lower orders for durable goods," said Frank Nothaft, Freddie Mac's chief economist. "These numbers suggest that the [Federal Reserve Board] will remain restrained in its practice of raising short-term rates, which may be an indication the Fed doesn't see inflation to be as great a threat as the markets previously had thought it would be." A year ago, the average 30-year and 15-year fixed rates were 6.01% and 5.35%, respectively, and the average one-year ARM rate was 3.75%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.