Mortgage Rates - Apr 10 2008
Weekly Data (Date)
Apr 10 2008 30-year Fixed Mortgage Rate 5.88 Apr 3 2008 5.88 Same Week Month ago 6.13 Mar 27 2008 5.85 Same Week Year ago 6.22
By Ken Fears, NAR Research Division
Mar 20 2008 5.87 One-year average 6.25
Mar 13 2008 6.13 Forecast in three months 6.60
Mar 6 2008 6.03 Forecast in one year 6.50
Trend
Latest
30-year Fixed Mortgage Rate 5.88 Source: Freddie Mac, NAR forecast
Annual Average
18 16 14 12 10 8 6 4 2 0
Recent Weeks
6.3 6.2 6.1 6 5.9 5.8 5.7 5.6
Feb 21 2008 28 2008 6 2008 13 2008 20 2008 27 2008 3 2008 10 2008 Feb Mar Mar Mar Mar Apr Apr
Past 12 months
7.00 6.75 6.50 6.25 6.00 5.75 5.50 5.25
Apr May Jun '07 '07 '07 Jul Aug Sep Oct Nov Dec Jan Feb Mar '07 '07 '07 '07 '07 '07 '08 '08 '08
Summary
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The average 30-year FRM held steady at 5.88% this week. The average rate on a 1-year ARM eased 1 basis point to 5.18%. The spread between the two rates eased 1 basis point to 68. Fees and points on the 30-year FRM eased 10 basis points to 0.4 percent. Fees and points on the 1-year ARM jumped 20 basis points to 0.7 percent. The term spread held roughly steady this week. The strong demand for long-term vehicles continues to drive this trend from the investor side. For the week, the average 10-year Treasury eased 1 basis point to 3.47%. The spread between the Treasury and the average 30-year FRM increased by 1 basis points to 241. The spread between the 10-year Treasury and the 30-FRM also remained roughly the same this week. Perceived mortgage market risks remain elevated. This wide range may reflect MBS investors trying to recoup anticipated losses to their portfolios via an increase in refinancing of those mortgages in the $417,000 to $729,500 range. We are likely in the calm before the storm. As the GSEs begin to buy up new mortgages over $417,000, rates will likely fluctuate, higher at first on increased refi demand, but lower in the long-term as the risk premium currently demanded by MBS investors eases.
National Association of REALTORS®