Published: March 10, 2005
Refinance Rates start to creep up
according to Freddie Mac, long-term mortgage loan rates have gone up again.
Locking in a low rate now is imperative if borrowers want to take advantage of the still low rates that are currently available.
Freddie Mac has reported that 30-year fixed mortgages are averaging 5.79% and 15-year fixed mortgages are at 5.33% as of March.
This is up from up from 5.62% & 5.14, respectively, in February.
5-year adjustable rate mortgages (Treasury-indexed hybrid) were averaging 5.17% (with 0.8 points), up from 5.05% .
1-year adjustable rate mortgages (also averaging 0.8 points) dropped to 4.14% form 4.16% in the same time period.
This is the second week in a row that mortgage rates have moved up, mostly on concerns about inflation on raw materials.
According to Freddie Mac V.P. Frank Notharft "...a broader measure of inflation, the Consumer Price Index,
posted a less than expected rise in inflation, causing bond yields to fall." This means that next week's survey
results may decline to prior levels of a week or two ago. When the totals for last month become available "sales of
existing homes in January are expected to be no higher and in fact, a little lower than they were in the previous months,
but continuing low interest rates will keep the housing sector active for some time to come."