Rates hit more historic lows this past week, however, the weak bond market Thursday and Friday may bring a halt to this streak in the coming week. Freddie Mac announced that for the week ending September 2, 30-year fixed rates averaged 4.32%, down from 4.36% the previous week. The average for 15-year fixed fell to 3.83%. Adjustables were also down slightly with the average for one-year adjustables easing to 3.50% and five-year adjustables easing to 3.54%. A year ago 30-year fixed rates were at 5.08%. Attributed to Amy Crews Cutts, deputy chief economist, Freddie Mac, “The 12-month price growth of core personal expenditures remained at 1.4 percent in July, which kept overall inflation expectations well at bay. Fed chairman Bernanke reiterated this in his August 27th speech in Wyoming, noting that with inflation expectations reasonably stable and the economy growing, inflation should remain near current readings for some time before rising slowly. As a result, rates eased further this week to new historic lows. House prices, appear to be firming. Home prices rose 2.3 percent between the first and second quarter of this year, reaching the highest level since the fourth quarter of 2008, according to the S&P/Case Shiller National Home Price Index. In addition, 15 metropolitan areas in the 20-City Composite Index experienced annual house price growth in June, compared to 13 in May and 11 in April.” Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.
Current Indices For Adjustable Rate Mortgages
Updated September 3, 2010
Interest rates are always an important factor when considering a purchase of Tucson Real Estate.