Fixed mortgage rates retreated, with the benchmark 30-year fixed mortgage rate falling to 3.73% this week, according to a Bankrate.com national survey.
The average 30-year fixed mortgage has an average of 0.33 discount and origination points.
The average 15-year fixed mortgage rate slipped below the 3% mark, to 2.96%, while the larger jumbo 30-year fixed mortgage rate plunged to 4.1%.
Adjustable rate mortgages were also lower, with the 3-year ARM inching down to 3% and the 5-year ARM sinking to 2.68%.
Mortgage rates declined following renewed concerns about the global economy and Federal Reserve Chairman Ben Bernanke’s reassurances that stimulative bond-buying will continue. Mortgage rates had moved modestly higher in recent weeks on worries that the Fed would prematurely curtail their purchases of long-term bonds, but Bernanke cast those notions aside. Mortgage rates are closely related to yields on long-term government bonds.
The last time mortgage rates were above 5% was Apr. 2011. At the time, the average 30-year fixed rate was 5.07%, meaning a $200,000 loan would have carried a monthly payment of $1,082.22. With the average rate now 3.73%, the monthly payment for the same size loan would be $923.96, a difference of $158 per month for anyone refinancing now.
Other survey results include:
30-year fixed: 3.73% — down from 3.80% last week (avg. points: 0.33)
15-year fixed: 2.96% — down from 3.02% last week (avg. points: 0.32)
5/1 ARM: 2.68% — down from 2.76% last week (avg. points: 0.32)
Article written for HouseLogic and the National Association of Realtors: Mortgage Rates Pull Back to 5-Week LowsAthens, athens property for sale, georgia, Georgia real estate, home for sale, house for sale, north georgia homes for sale, north georgia real estate, oconee, property for sale, Real Estate Posted by