Mortgage Rates Increase
Freddie Mac (OTCQB: FMCC) announced on May 5, 2022, that the 30-year fixed-rate mortgage (FRM) averaged 5.27%, marking the highest rate since 2009. This increase from 5.10% last week reflects ongoing challenges in housing affordability and inflation. The 15-year FRM also rose to 4.52%, while the 5-year Treasury-indexed ARM reached 3.96%. The PMMS focuses on conventional loans for borrowers with excellent credit and 20% down payments. Freddie Mac continues its mission to enhance housing accessibility across the U.S.
- Freddie Mac's PMMS highlights trends in mortgage rates, reflecting its role in the housing market.
- The increase in mortgage rates may indicate a recovering economy, attracting investor interest.
- 30-year FRM reached 5.27%, the highest since 2009, which may deter potential homebuyers.
- Inflation and housing affordability challenges could lead to a slowdown in home sales.
MCLEAN, Va., May 05, 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 5.27 percent.
“Mortgage rates resumed their climb this week as the 30-year fixed reached its highest point since 2009,” said Sam Khater, Freddie Mac’s Chief Economist. “While housing affordability and inflationary pressures pose challenges for potential buyers, house price growth will continue but is expected to decelerate in the coming months.”
News Facts
- 30-year fixed-rate mortgage averaged 5.27 percent with an average 0.9 point as of May 5, 2022, up from last week when it averaged 5.10 percent. A year ago at this time, the 30-year FRM averaged 2.96 percent.
- 15-year fixed-rate mortgage averaged 4.52 percent with an average 0.8 point, up from last week when it averaged 4.40 percent. A year ago at this time, the 15-year FRM averaged 2.30 percent.
- 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.96 percent with an average 0.2 point, up from last week when it averaged 3.78 percent. A year ago at this time, the 5-year ARM averaged 2.70 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/244d676b-9539-417f-be3e-6a859e66ba07
FAQ
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