Second Week All Time Lows For Mortgage Rates

By Kyle Chezum Updated on 9/25/2013

Mortgage rates drop again, hitting all-time lows for the second week in a row, according to the Freddie Mac survey. 30-year fixed rate mortgage averages reached an all-time low today at 3.83% ending the week 0.01% lower then last week’s record breaking average of 3.84% and well below last years average at this time, which was 4.63%.

15-year fixed rate mortgages also dropped to an average of 3.05%, over last weeks 3.07%. A popular choice for refinancing, last years rate at this time for 15-year fixed rate mortgages was 3.82%.

Treasury-indexed hybrid 5-year adjustable rate mortgages dropped by 0.04%, sitting at 2.81% from last weeks 2.85%, and down 0.6% from last years 3.41% average at this time.

Treasury Indexed 1-year adjustable rate mortgage rates actually rose, up 0.03% from last weeks 2.7%, now sitting at 2.73%, though still lower then last years rate at 3.11%.

According to a statement from Freddie’s Chief Economist, Frank Nothaft; the weak employment report from April and foreign election results in Greece and France caused questions on the Euros’ stability and long term Treasury bond yields declined, which allowed FRM rates to lower to new record lows.

Bankrate, a home loan analytics firm that surveys large banks also reported drops in rates. 30-year fixed rate mortgages dropped from 4.05% to 4.02%, 15-year fixed rate mortgages dropped from 3.25% to 3.2% and 5/1 adjustable rate mortgages dropped from 3.02% to 2.99%.