Mortgage Rates Reverse Course, Inch Higher

Source: Freddie Mac

For the first time in two months, mortgage rates edged higher this week.

"Treasury yields approached their highest level in a month, boosting the 30-year mortgage 2 basis points this week to 3.64 percent,” says Sean Becketti, Freddie Mac’s chief economist. “Despite this welcome breather, Fed officials have been highlighting the downside risks to the economic outlook, and the market expects the Fed to refrain from any further short-term rate increases for now."

Freddie Mac reports the following national mortgage rate averages for the week ending March 3:

• 30-year fixed-rate mortgages: averaged 3.64 percent, with an average 0.5 point, rising from last week’s 3.62 percent average. Last year at this time, 30-year rates averaged 3.75 percent.
• 15-year fixed-rate mortgages: averaged 2.94 percent, with an average 0.5 point, increasing from last week’s 2.93 percent average. A year ago, 15-year rates averaged 3.03 percent.
• 5-year hybrid adjustable-rate mortgages: averaged 2.84 percent, with an average 0.5 point, increasing from last week’s 2.79 percent average. Last year at this time, 5-year ARMs averaged 2.96 percent.