Mortgage Rates Continue to Move Up
Freddie Mac (OTCQB: FMCC) reported in its Primary Mortgage Market Survey (PMMS) that the 30-year fixed-rate mortgage averaged 3.56% for the week ending January 20, 2022, an increase from 3.45% the previous week and up from 2.77% a year ago. The 15-year fixed-rate mortgage rose to 2.79%, and the 5-year adjustable-rate mortgage averaged 2.60%. Chief Economist Sam Khater noted that rising mortgage rates, driven by the 10-year U.S. Treasury yield and inflation concerns, have led to a decline in purchase demand as the spring homebuying season approaches, despite tight supply and high home prices.
- 30-year fixed-rate mortgage increased to 3.56%, reflecting competitive market conditions.
- High home prices and tight supply suggest continued market demand.
- Purchase demand has modestly waned due to higher mortgage rates.
- Annual comparison shows significant increase in mortgage rates from 2.77% to 3.56%.
MCLEAN, Va., Jan. 20, 2022 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS), showing that the 30-year fixed-rate mortgage (FRM) averaged 3.56 percent.
“Mortgage rates moved up again as the 10-year U.S. Treasury yield rose and financial markets adjusted to anticipated changes in monetary policy that will combat inflation,” said Sam Khater, Freddie Mac’s Chief Economist. “As a result of higher mortgage rates, purchase demand has modestly waned in advance of the spring homebuying season. However, supply remains near historically tight levels and home prices remain high, keeping the market competitive.”
News Facts
- 30-year fixed-rate mortgage averaged 3.56 percent with an average 0.7 point for the week ending January 20, 2022, up from last week when it averaged 3.45 percent. A year ago at this time, the 30-year FRM averaged 2.77 percent.
- 15-year fixed-rate mortgage averaged 2.79 percent with an average 0.6 point, up from last week when it averaged 2.62 percent. A year ago at this time, the 15-year FRM averaged 2.21 percent.
- 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.60 percent with an average 0.3 point, up from last week when it averaged 2.57 percent. A year ago at this time, the 5-year ARM averaged 2.80 percent.
The PMMS is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.
Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our creation by Congress in 1970, we’ve made housing more accessible and affordable for homebuyers and renters in communities nationwide. We are building a better housing finance system for homebuyers, renters, lenders, investors and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.
MEDIA CONTACT:
Angela Waugaman
703-714-0644
Angela_Waugaman@FreddieMac.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/c294acea-8b44-4607-9783-52d468da4200
FAQ
What is the current average rate for a 30-year fixed mortgage according to FMCC's latest PMMS?
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