Mortgage Rate Update

The 30-year fixed mortgage rate fell this week. The current rate borrowers were quoted on at 3.36 percent, while last week the rate was at 3.77 percent. It hovered around 3.75 percent this time last week before it settled at 3.76

Erin Lantz, VP of mortgages at Zillow states, “Rates continued to slide last week and are now down more than a half of a percentage point from their mid-September peak. Strong economic data suggests rates should move higher, but weak demand for new loans as kept rates low. This week we expect to see some volatility as markets react to Friday’s job report but anticipate rates to increase modestly by week’s end.”

Furthermore, a 15-year fixed mortgage rate is currently 2.97 percent and for 5/1 ARMs, the rate was 2.76. Zillow predicts tomorrow’s seasonally adjusted Mortgage Bankers Associates Weekly Application Index will show purchase loan activity boost by 15 percent from last week. Stay tuned for another update, coming soon!

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