Lower Rates Beginning to have Positive Effect on Economy

January 22, 2019
Rates remain at 9-month lows.


For the week ending January 17, Freddie Mac announced that 30-year fixed rates remained at 4.45%. The average for 15-year loans decreased one tick to 3.88% and the average for five-year adjustables rose to 3.87%. A year ago, 30-year fixed rates averaged 4.04%, less than one-half of one percent lower than today. "Weaker manufacturing data and a more dovish tone from the Federal Reserve left rates on home loans unchanged relative to last week. Interest rate-sensitive sectors of the economy – such as consumer loan demand and homebuilder construction sentiment – are on the mend, which indicates that lower interest rates are beginning to have a positive impact on some segments of the economy," said Sam Khater, Chief Economist, Freddie Mac.

Note: 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 January 18, 2019


Daily Value

Monthly Value

  Jan 17 December
6-month Treasury Security 2.50% 2.54%
1-year Treasury Security 2.57% 2.66%
3-year Treasury Security 2.55% 2.67%
5-year Treasury Security 2.58% 2.68%
10-year Treasury Security 2.75% 2.83%
12-month LIBOR   3.002% (Dec)
12-month MTA   2.332% (Dec)
11th District Cost of Funds   1.060% (Nov)
Prime Rate   5.50% (Dec)