Mortgage rates fall below 3%
(RTTNews) – Mortgage rates, or home loan rates, fell below 3 percent again this week. According to mortgage company Freddie Mac (FMCC.OB), the interest rate was below the 3 percent mark in five of the previous six weeks.
Freddie Mac released the results of his primary mortgage market survey and said the 30-year fixed-rate mortgage, or FRM, averaged 2.95 percent for the week ending May 27, 2020, compared to 3.00 percent last week. A year ago, the average rate at that time was 3.15 percent.
The 15-year-old FRM this week averaged 2.27 percent, compared with 2.29 percent last week. A year ago, the average FRM for 15 years at that point was 2.62 percent.
The 5-year Treasury-indexed hybrid adjustable rate mortgage, or ARM, averaged 2.59 percent and was flat from last week. A year ago it was 3.13 percent.
“Mortgage rates are below three percent and continue to offer many homeowners the potential to refinance and increase their monthly cash flow,” said Sam Khater, Freddie Mac’s chief economist. “In fact, homeowners who refinanced their 30-year fixed-rate mortgage in 2020 have saved more than $ 2,800 annually. There are still significant opportunities today with nearly $ 2 trillion in compliant mortgages able to meet their Interest rate to refinance at and lower at least half a percentage point. ”
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