NEW YORK, Sept. 16 /PRNewswire/ -- Mortgage rates moved lower this week, with the average conforming 30-year fixed mortgage rate retreating to 4.54 percent, according to Bankrate.com's weekly national survey. The average 30-year fixed mortgage has an average of 0.37 discount and origination points.
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To see mortgage rates in your area, go to http://www.bankrate.com/funnel/mortgages/
The average 15-year fixed mortgage retreated to 4.00 percent, and the larger jumbo 30-year fixed rate pulled back to 5.19 percent, both record lows. Adjustable rate mortgages were down more significantly, with the average 5-year ARM sliding to 3.78 percent and the average 7-year ARM sinking to 4.04 percent.
A looming Federal Open Market Committee meeting could add more volatility to mortgage rates. Although unlikely at the upcoming meeting, any additional bond purchases by the Fed would be designed to drive long-term interest rates - and mortgage rates - lower. Recent economic reports have been a bit better than expected and remove the urgency for the Fed to take immediate action. Nonetheless, any hint of what the Fed is thinking about either the economy or the need for additional measures, could spark the next big move in mortgage rates.
The last time mortgage rates were above 6 percent was Nov. 2008. At that time, the average rate was 6.33 percent, meaning a $200,000 loan would have carried a monthly payment of $1,241.86. With the average rate now 4.54 percent, the monthly payment for the same size loan would be $1,018.13, a savings of almost $224 per month for a homeowner refinancing now.
SURVEY RESULTS 30-year fixed: 4.54% -- down from 4.58% last week (avg. points: 0.37) 15-year fixed: 4.00% -- down from 4.06% last week (avg. points: 0.34) 5/1 ARM: 3.78% -- down from 3.91% last week (avg. points: 0.29)
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.
For a full analysis of this week's move in mortgage rates, go to http://www.bankrate.com/finance/mortgages/rates-fall-near-record-low.aspx.
The survey is complemented by Bankrate's weekly Rate Trend Index, in which a panel of mortgage experts predicts which way the rates are headed over the next seven days. According to the panelists, mortgage rates won't head lower. A bit more than half of the panelists, 57 percent, say mortgage rates aren't headed anywhere and will remain more or less unchanged. The remaining respondents, 43 percent, expect mortgage rates to rise in the next week.
For the full mortgage Rate Trend Index, go to http://www.bankrate.com/RTI About Bankrate, Inc.
The Bankrate network of companies includes Bankrate.com, Interest.com, Mortgage-calc.com, Nationwide Card Services, Savingforcollege.com, Fee Disclosure, InsureMe CreditCardGuide.com, Bankaholic, CreditCards.com and NetQuote. Each of these businesses helps consumers to make informed decisions about their personal finance matters. The company's flagship brand, Bankrate.com is a destination site of personal finance channels, including banking, investing, taxes, debt management and college finance. Bankrate.com is the leading aggregator of rates and other information on 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 575 markets in 50 states. Bankrate.com provides financial applications and information to a network of more than 75 partners, including Yahoo! , America Online , The Wall Street Journal and The New York Times . Bankrate.com's information is also distributed through more than 500 newspapers. Bankrate, Inc. was acquired by Apax Partners, one of the world's leading private equity investment groups, in September 2009. Apax operates across the United States, Europe and Asia and has more than 30 years of investing experience. For more information on Apax, visit: http://www.apax.com/.
For more information contact: Kayleen Yates Senior Director, Corporate Communications kyates@bankrate.com (917) 368-8677 http://www.bankrate.com/
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Bankrate, Inc.
CONTACT: Kayleen Yates, Senior Director, Corporate Communications,
+1-917-368-8677, kyates@bankrate.com
Web Site: http://www.bankrate.com/
