NEW YORK, Sept. 8, 2011 /PRNewswire/ -- The benchmark
conforming 30-year fixed mortgage rate set a new record for the
third consecutive week, dropping to 4.35 percent, according to
Bankrate.com's weekly national survey. The average 30-year fixed
mortgage has an average of 0.38 discount and origination
points.
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To see mortgage rates in your area, go to
http://www.bankrate.com/funnel/mortgages/
The average 15-year fixed mortgage remained at 3.48 percent
while the larger jumbo 30-year fixed rate set a new low of 4.86
percent. Adjustable rate mortgages were mixed, with the average
5-year ARM ticking higher to 3.1 percent while the 7-year ARM slid
to another record low of 3.21 percent.
A dismal jobs report brought mortgage rates down for a sixth
consecutive week. Fears of a looming recession or prolonged
economic malaise have enhanced the appeal of long-term Treasury
securities, with yields venturing into record-low territory. Fixed
mortgage rates and yields on mortgage-backed bonds are closely
related to yields on 10-year Treasury notes. While the Federal
Reserve may take steps to further reduce these long-term interest
rates in hopes of bringing mortgage rates still lower, expanding
the pool of eligible refinancers would make the low mortgage rates
more impactful on the economy.
The last time mortgage rates were above 6 percent was
Nov. 2008. At the time, the average
30-year fixed rate was 6.33 percent, meaning a $200,000 loan would have carried a monthly
payment of $1,241.86. With the
average rate now 4.35 percent, the monthly payment for the same
size loan would be $995.62, a
difference of $246 per month for
anyone refinancing now.
SURVEY
RESULTS
|
|
30-year
fixed: 4.35% -- down from 4.37% last week (avg. points:
0.38)
|
|
15-year
fixed: 3.48% -- unchanged from last week (avg. points:
0.35)
|
|
5/1 ARM:
3.10% -- up from 3.07% last week (avg. points: 0.37)
|
|
|
Bankrate's national weekly mortgage survey is conducted each
Wednesday from data provided by the top 10 banks and thrifts in the
top 10 markets.
For a full analysis of this week's move in mortgage rates, go to
http://www.bankrate.com.
The survey is complemented by Bankrate's weekly Rate Trend
Index, in which a panel of mortgage experts predicts which way the
rates are headed over the next seven days. There is no clear
consensus among the panelists, with 38 percent expecting mortgage
rates to remain more or less unchanged, and 31 percent predicting a
decline. An equal 31 percent expect mortgage rates to increase in
the upcoming week.
For the full mortgage Rate Trend Index, go to
http://www.bankrate.com/RTI.
About Bankrate, Inc. (NYSE: RATE)
The Bankrate network of companies includes Bankrate.com,
Interest.com, Mortgage-calc.com, Nationwide Card Services,
InsureMe, CreditCardGuide.com, Bankaholic, CreditCards.com and
NetQuote. Each of these businesses helps consumers to make
informed decisions about their personal finance matters. The
company's flagship brand, Bankrate.com is a destination site of
personal finance channels, including banking, investing, taxes,
debt management and college finance. Bankrate.com is the leading
aggregator of rates and other information on more than 300
financial products, including mortgages, credit cards, new and used
auto loans, money market accounts and CDs, checking and ATM fees,
home equity loans and online banking fees. Bankrate.com reviews
more than 4,800 financial institutions in 575 markets in 50 states.
Bankrate.com provides financial applications and information to a
network of more than 75 partners, including Yahoo! (Nasdaq: YHOO),
America Online (NYSE: AOL), The
Wall Street Journal and The New York
Times (NYSE: NYT). Bankrate.com's information is also
distributed through more than 500 newspapers.
For more information contact:
Kayleen Yates
Senior Director, Corporate Communications
kyates@bankrate.com
(917) 368-8677
SOURCE Bankrate, Inc.