DOW JONES NEWSWIRES
Mortgage rates rose again this week as housing sales continue to
pick up, according to Freddie Mac's (FRE) weekly survey of mortgage
rates.
Sales have increased for several straight months, giving
increased hope that the housing market may have finally bottomed.
Meanwhile, it was disclosed this week that a closely watched
home-price indicator rose for the first time in nearly three
years.
The 30-year, fixed-rate mortgage averaged 5.25% for the week
ended Thursday, up from last week's 5.2% average and down from
6.52% a year ago. Rates on 15-year fixed-rate mortgages were 4.69%,
up from 4.68% last week and down from 6.07% a year earlier.
Five-year, Treasury-indexed hybrid adjustable-rate mortgages
averaged 4.75%, up from last week's 4.74% and down from 6.07% a
year earlier. One-year, Treasury-indexed ARMs were 4.8%, up from
4.77% last week and down from 5.27% last year.
To obtain the rates, the fixed-rate mortgages required payment
of an average 0.7 point, the five-year adjustable-rate required an
average 0.6 and the one-year ARM required an average 0.5 point. A
point is 1% of the mortgage amount, charged as prepaid
interest.
-By Kerry Grace Benn, Dow Jones Newswires; 212-416-2353;
kerry.benn@dowjones.com