Average mortgage rates in the U.S. declined over the past week as fixed-rate mortgages reached new lows, according to mortgage-finance company Freddie Mac.
Freddie Mac Chief Economist Frank Nothaft said recent economic data showing continued weakness in consumer spending and a contraction in the manufacturing industry contributed to mortgage rates reaching new record lows in the latest week.
For the week ended Thursday, the 30-year fixed-rate mortgage averaged 3.62%, compared with 3.66% the previous week and 4.6% a year earlier. Rates on 15-year fixed-rate mortgages averaged 2.89%, versus 2.94% a week earlier and 3.75% a year ago.
Five-year Treasury-indexed hybrid adjustable-rate mortgages, or ARMs, averaged 2.79%, unchanged from the previous week and down from the 3.30% rate set a year earlier. One-year Treasury-indexed ARM rates averaged 2.68%, compared with 2.74% the week earlier and 3.01% a year earlier.