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Mortgage Rates Predictions

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					Bankrate: Mortgage Rates Take a Breather

NEW YORK, Nov 17, 2005 /PRNewswire-FirstCall via COMTEX News Network/ -- Mortgage rates finally paused for a breath,
following a nine-week run-up. The average 30-year fixed rate mortgage remained at 6.42 percent, according to Bankrate.com's
weekly national survey of large lenders. The 30-year fixed rate mortgages in this week's survey had an average of 0.35
discount and origination points.

The average 15-year fixed mortgage rate inched higher, but remains a shade under 6 percent at 5.99 percent. The average
jumbo 30-year fixed rate nudged higher from 6.6 percent to 6.61 percent. Adjustable rate mortgages were mixed, with the
average 5/1 adjustable rate mortgage dipping from 5.94 percent to 5.93 percent, while the average one-year ARM increased
from 5.44 percent to 5.5 percent.

Inflation concerns have pushed mortgage rates higher over the past two months, but those concerns eased somewhat this
week. The release of both the Producer Price Index (PPI) and Consumer Price Index (CPI) calmed fears that inflation might be
getting out of hand. With oil prices easing from $70 per barrel to below $60 per barrel, the PPI and CPI showed only moderate
increases compared to last month's jump higher. With bond investors no longer headed for the exits, yields on government and
mortgage-backed bonds stabilized. Inflation scares off bond investors because it erodes the value of the fixed payments
bondholders receive. News of moderate inflation was countered by stronger than expected retail sales, which underscores the
Fed's case for additional interest rate hikes.

After defying predictions for so long, fixed mortgage rates have increased significantly in the past two months. The average 30-
year fixed mortgage rate on Sept. 14 was 5.84 percent, meaning that the monthly payment on a loan of $165,000 was $972.35.
With the average 30-year fixed rate now 6.42 percent, the same loan would now carry a payment of $1,034.25. Failing to lock
in a mortgage rate two months ago results in a monthly payment increase of $61.90 per month, and would amount to additional
interest costs of more than $22,200 over the loan term.

                                                      SURVEY RESULTS



                             30-year fixed: 6.42% -- unchanged from last week (avg. points: 0.35)
                              15-year fixed: 5.99% -- up from 5.96% last week (avg. points: 0.33)
                               5/1 ARM: 5.93% -- down from 5.94% last week (avg. points: 0.32)

Bankrate's national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts
in the top 10 markets.

The survey is complemented by Bankrate's weekly forward-looking Rate Trend Index, in which a panel of mortgage experts
predicts which way the rates are headed over the next 30 to 45 days. This week the panel is evenly split, with half of
respondents expecting rates to rise further and the other half predicting rates will remain at current levels.

For a full analysis of this week's move in mortgage rates, go to: http://www.bankrate.com/mortgagerates .

For the full mortgage Rate Trend Index, go to: http://www.bankrate.com/RTI .

About Bankrate, Inc.

Bankrate, Inc. (Nasdaq: RATE) owns and operates Bankrate.com, the Internet's leading consumer banking marketplace.
Bankrate.com is a destination site of personal finance channels, including banking, investing, taxes and small business finance.
It is the leading aggregator of more than 300 financial products, including mortgages, credit cards, new and used auto loans,
money market accounts and CDs, checking and ATM fees, home equity loans and online banking fees. Bankrate.com reviews
more than 4,800 financial institutions in more than 580 markets in 50 states. In 2004, Bankrate.com had over 38 million unique
visitors. Bankrate.com provides financial applications and information to a network of more than 75 partners, including Yahoo!
(Nasdaq: YHOO), America Online (NYSE: TWX), The Wall Street Journal (NYSE: DJ) and The New York Times (NYSE: NYT).
Bankrate.com's information is also distributed through more than 100 national and state publications.

NOTE TO EDITORS:
Interviews: The reporters, financial experts and management team are available for print, Web, radio and TV interviews -- live
or taped.

Analysis, fact checking: Our personal finance experts can offer insights, quotes, background, research and rate data.

Radio: The Bankrate Personal Finance Minute for radio is available for broadcast. Multiple talkers available for shows -- live or
taped.

TV: Our experts are experienced with live and taped segments. We have talkers available via satellite feed.

Print/Web: Award-winning reporters and editors creating thousands of evergreen and fresh articles for your paper or site.

Editor Alert: Receive breaking news from Bankrate via your e-mail: http://www.bankrate.com/editorsalert

Learn more about Bankrate management:
http://www.bankrate.com/coinfo/staff.asp




Use Bankrate.com's Press Page: http://www.bankrate.com/broadcast

For more information, contact:
Kayleen Keneally
Director, Corporate Communications
kkeneally@bankrate.com
917-368-8677

SOURCE Bankrate, Inc.

				
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