NEW YORK, Jan. 5, 2017 /PRNewswire/ -- Mortgage rates
started off 2017 much differently than they finished up 2016 as
mortgage rates pulled back, breaking a streak of nine consecutive
weekly increases. The benchmark 30-year fixed mortgage rate settled
at 4.21 percent, according to Bankrate.com's weekly national
survey. The 30-year fixed mortgage has an average of 0.28 discount
and origination points.
The larger jumbo 30-year fixed pulled back to 4.28 percent, and
the average 15-year fixed mortgage rate dropped to 3.45 percent.
Adjustable mortgage rates were mostly lower as well, with the
5-year ARM slipping to 3.50 percent and the 7-year ARM sinking to
3.77 percent.
After rising for nine weeks in a row and twelve out of thirteen
weeks during the fourth quarter of 2016, mortgage rates retreated.
The run-up in both bond yields and mortgage rates was predicated on
expectations for government stimulus and tax cuts that would boost
the pace of economic growth and the level of inflation. As 2016
came to a close and 2017 got underway, some skepticism has begun to
creep in about the timing and effectiveness of any stimulus
matching up to investors' very rosy expectations. Both bond yields
and mortgage rates reversed course in response.
At the current average 30-year fixed mortgage rate of 4.21
percent, the monthly payment for a $200,000 loan is $979.20.
SURVEY RESULTS
30-year fixed: 4.21% -- down from 4.32% last week
(avg. points: 0.28)
15-year fixed: 3.45% -- down from 3.57% last week
(avg. points: 0.22)
5/1 ARM: 3.50% -- down from 3.57% last week (avg.
points: 0.32)
Bankrate's national weekly mortgage survey is conducted each
Wednesday from data provided by the top 10 banks and thrifts in 10
top markets.
For a full analysis of this week's move in mortgage rates, go to
http://www.bankrate.com/mortgagerates
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. The panelists are fairly
evenly divided this week, with 36 percent expecting mortgage rates
to continue falling and an equal 36 percent forecasting that
mortgage rates will remain more or less unchanged over the coming
week. The remaining 28 percent of respondents predict mortgage
rates will resume their climb during the next seven days.
About Bankrate.com
Bankrate.com provides consumers with the expert advice and tools
needed to succeed throughout life's financial journey. For over two
decades, Bankrate.com has been a leading personal finance
destination. The company offers award-winning editorial
content, competitive rate information, and calculators and tools
across multiple categories, including mortgages, deposits, credit
cards, retirement, automobile loans, and taxes. Bankrate aggregates
rate information from over 4,800 institutions on more than 300
financial products. With coverage of over 600 local markets,
Bankrate generates rate tables in all 50 U.S. states. Bankrate
develops and provides web services to more than 100 cobranded
websites with online partners, including some of the most trusted
and frequently visited personal finance sites on the internet, such
as Comcast, Yahoo!, CNBC and Bloomberg. In addition, Bankrate
licenses editorial content to more than 500 newspapers on a daily
basis including The Wall Street Journal, USA Today, The New York
Times and The Los Angeles
Times.
For more information contact:
Kayleen Yates
Vice President, Corporate Communications
kyates@bankrate.com
(917)
368-8677
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SOURCE Bankrate