“Mortgage rates remain at record lows and while that has fueled a refinance boom, it’s been driven mainly by higher income borrowers. With about 20 million borrowers eligible to refinance, lower- and middle-income borrowers are leaving money on the table by not taking advantage of low rates,” said Sam Khater, Freddie Mac’s Chief Economist. “On the homebuying side, demand continues to surge, and it has created a seller’s market where inventory is at a record low and home prices are rising, beginning to offset the benefits of the low rates.”
- 30-year fixed-rate mortgage averaged 2.72 percent with an average 0.7 point for the week ending November 25, 2020, unchanged from last week. A year ago at this time, the 30-year FRM averaged 3.68 percent.
- 15-year fixed-rate mortgage averaged 2.28 percent with an average 0.6 point, unchanged from last week. A year ago at this time, the 15-year FRM averaged 3.15 percent.
- 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.16 percent with an average 0.3 point, up from last week when it averaged 2.85 percent. A year ago at this time, the 5-year ARM averaged 3.43 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.