Rates Rise

The average 30-year fixed mortgage rate rose from 6.18% to 6.21% over the seven-day period ended Jan. 11, according to Freddie Mac's Primary Mortgage Market Survey.The average 15-year fixed mortgage rate rose from 5.94% to 5.96%, the average rate for five-year Treasury-indexed hybrid adjustable-rate mortgages climbed from 6.02% to 6.03%, and the average rate for one-year Treasury-indexed ARMs increased from 5.42% to 5.44%, Freddie Mac reported. Fees and points averaged 0.4 of a point for fixed-rate mortgages and 0.5 of a point for ARMs. "The December employment report came in higher than expected, providing a lift to interest rates," said Frank Nothaft, Freddie Mac's chief economist. "The gain in employment in December exceeded the consensus forecast, and helped ease fears about the state of the economy. But stronger employment and higher wages put upward pressure on inflation, which, in turn, translates into higher interest rates." A year ago, the average 30-year and 15-year fixed rates were 6.15% and 5.71%, respectively, and the average hybrid and one-year ARM rates were 5.76% and 5.15%, respectively, Freddie Mac said. Freddie Mac can be found online at http://www.freddiemac.com.