Rates Hold Steady

The average 30-year fixed mortgage rate rose from 6.58% to 6.59% over the seven-day period ended May 4, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate rose from 6.21% to 6.22%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages was unchanged at 6.21%, and the average rate for one-year Treasury-indexed ARMs declined from 5.68% to 5.67%, Freddie Mac reported. Fees and points averaged 0.6 of a point for fixed-rate mortgages, 0.7 of a point for hybrid ARMs, and 0.8 of a point for one-year ARMs. "Mortgage rates have drifted upward for the sixth week running, which is consistent with Freddie Mac's economic forecast," said Frank Nothaft, Freddie Mac's chief economist. "We expect that mortgage rates will continue to trend upward over the coming year, but that upward trend will be modest at best." A year ago, the average 30-year and 15-year fixed rates were 5.75% and 5.31%, respectively, and the average one-year ARM rate was 4.22%, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.