Average mortgage interest rates declined this week for the eight time in nine weeks, according to Freddie Mac's weekly report. The steady decline of interest rates comes as inflation pressures are easing. Many industry experts expect to see mortgage activity slightly increase in the near future.
"A slowing housing market and signs that inflation is leveling off have helped to lower mortgage rates lately and keep them more affordable," said Freddie Mac Chief Economist Frank Nothaft.
The 30-year fixed-rate mortgage average rate decreased for the week ending September 21 to 6.40%, down from 6.42% the week prior. One year ago, the average 30-year rate was 5.80%.
The average 15-year fixed-rate mortgage was also down, landing at 6.06% from 6.11% the week prior. One year ago, the average 15-year rate was 5.37%.
The five-year hybrid ARM was down slightly to 6.08%. Last week it was at 6.10%. One year ago, the 5-year hybrid averaged 5.31%.
The one-year ARM was also down. It averaged 5.54% for the week, down from 5.60%. One year ago, the one-year ARM averaged 4.48%.
"Going forward, the economy is expected to expand at a somewhat slower rate than it did in the first half of the year," said Nothaft. "This should continue to keep inflation in check, and therefore, mortgage rates low."
Martin Lukac represents http://www.RateEmpire.com and http://www.1AmericanFinancial.com, a finance web-company specializing in real estate and mortgage rates. We specialize in daily updates, mortgage news, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies!
Source: www.articledashboard.com
