The drop in interest rates over the last two months is already being felt in the housing market.
Rates moved lower last week after stabilizing for a few weeks. For the week ending June 27, Freddie Mac announced that 30-year fixed rates fell to 3.73% from 3.84% the week before. The average for 15-year loans decreased to 3.16% and the average for five-year ARMs moved down to 3.39%. A year ago, 30-year fixed rates averaged 4.55%, over 0.5% higher than today. Attributed to Sam Khater, Chief Economist, Freddie Mac -- "While the industrial and trade related economic data continues to dominate the news, the drop in interest rates over the last two months is already being felt in the housing market. Through late June, home purchase applications improved by five percentage points compared to the previous month. In the near-term, we expect the housing market to continue to improve from both a sales and price perspective."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 June 28, 2019
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Daily Value
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Monthly Value
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June 27
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May
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6-month Treasury Security
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2.12%
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2.42%
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1-year Treasury Security
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1.93%
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2.34%
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3-year Treasury Security
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1.71%
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2.16%
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5-year Treasury Security
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1.76%
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2.19%
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10-year Treasury Security
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2.01%
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2.40%
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12-month LIBOR
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2.510% (May)
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12-month MTA
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2.510% (May)
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11th District Cost of Funds
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1.095% (Apr)
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Prime Rate
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5.50% (Dec)
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