Mortgage Rates Inch Up But Stay Below Three Percent

Rhea-AI Summary

MCLEAN, Va., June 3, 2021 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) released its Primary Mortgage Market Survey indicating that the 30-year fixed-rate mortgage (FRM) averaged 2.99% for the week ending June 3, 2021, up from 2.95% the previous week. A year ago, the average FRM was 3.18%. The 15-year FRM remained at 2.27%, while the 5-year ARM rose to 2.64%. Freddie Mac's Chief Economist noted ongoing home price acceleration and low inventory, emphasizing refinancing opportunities for homeowners amidst strong competition for buyers.

Positive

• 30-year FRM increased to 2.99% from 2.95%, signaling stable demand.
• 15-year FRM remained steady at 2.27%, indicating competitive mortgage options.
• 5-year ARM rose to 2.64%, suggesting attractive refinancing prospects.

Negative

• Home inventory remains low, limiting options for potential buyers.
• Accelerating home prices could deter some buyers.

MCLEAN, Va., June 03, 2021 (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 2.99 percent.

“Home prices continue to accelerate while inventory remains low and new home construction cannot happen fast enough,” said Sam Khater, Freddie Mac’s Chief Economist. “There are many potential homebuyers who would like to take advantage of low mortgage rates, but competition is strong. For homeowners however, continued low rates make refinancing an option worth considering.”

News Facts

• 30-year fixed-rate mortgage averaged 2.99 percent with an average 0.6 point for the week ending June 3, 2021, up from last week when it averaged 2.95 percent. A year ago at this time, the 30-year FRM averaged 3.18 percent.
• 15-year fixed-rate mortgage averaged 2.27 percent with an average 0.6 point, unchanged from last week. A year ago at this time, the 15-year FRM averaged 2.62 percent.
• 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.64 percent with an average 0.2 point, up from last week when it averaged 2.59 percent. A year ago at this time, the 5-year ARM averaged 3.10 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/a555d2f6-40e5-40fb-a6c1-bbad79cd4fac

FAQ

What is the current average rate for a 30-year fixed mortgage from Freddie Mac (FMCC)?

The current average rate for a 30-year fixed mortgage is 2.99%.

How has the 15-year fixed mortgage rate changed recently for Freddie Mac (FMCC)?

The 15-year fixed mortgage rate remains unchanged at 2.27%.

What does Freddie Mac (FMCC) say about home prices and inventory levels?

Freddie Mac reports that home prices continue to accelerate while inventory remains low.