Mortgage Rates Remain Flat for the Second Consecutive Week
Freddie Mac (OTCQB: FMCC) reported that the 30-year fixed-rate mortgage averaged 2.73% for the week ending February 11, 2021, unchanged from last week and down from 3.47% a year prior. The 15-year fixed-rate mortgage decreased to 2.19%, while the 5-year adjustable-rate mortgage rose slightly to 2.79%. Chief Economist Sam Khater noted the residential real estate market remains strong due to healthy purchase demand, despite challenges in the services economy and inventory shortages. The PMMS focuses on conventional loans for borrowers with excellent credit.
- 30-year fixed-rate mortgage remains stable at 2.73%, promoting mortgage accessibility.
- Residential real estate market shows healthy demand, indicating economic resilience.
- Services economy is struggling, which may impact overall economic stability.
- Inventory shortages are posing challenges in the housing market.
MCLEAN, Va., Feb. 11, 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 2.73 percent.
“It’s a tale of two economies. The services economy remains in the doldrums, but the production side of the economy remains strong,” said Sam Khater, Freddie Mac’s Chief Economist. “New COVID-19 cases are receding, which is encouraging and that has led to a rise in Treasury rates. But, the run-up in Treasury rates has not impacted mortgage rates yet, which have held firm.”
Khater continued, “The residential real estate market remains solid given healthy purchase demand while implied real-time home price growth is high, due to the inventory shortage that is plaguing the housing market.”
News Facts
- 30-year fixed-rate mortgage averaged 2.73 percent with an average 0.7 point for the week ending February 11, 2021, unchanged from last week. A year ago at this time, the 30-year FRM averaged 3.47 percent.
- 15-year fixed-rate mortgage averaged 2.19 percent with an average 0.6 point, down from last week when it averaged 2.21 percent. A year ago at this time, the 15-year FRM averaged 2.97 percent.
- 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.79 percent with an average 0.2 point, up slightly from last week when it averaged 2.78 percent. A year ago at this time, the 5-year ARM averaged 3.28 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/469b8ded-644d-418c-88ed-322b2f211a6b
FAQ
What is the current 30-year fixed-rate mortgage rate reported by Freddie Mac?
How does the 15-year fixed-rate mortgage rate compare to last week?
What are the implications of the inventory shortage in the housing market?
What is the focus of the Primary Mortgage Market Survey by Freddie Mac?
