Freddie Mac, Bankrate agree, mortgage rates moving higher

By Palm Beach Business.com

DELRAY BEACH — Mortgage rates continued move higher this week on a variety of factors, including good economic news and increasing tensions between North and South Korea.

Bankrate.com’s national mortgage survey had the 30-year fixed rate averaging 4.71 percent, with 0.36 point, up from 4.58 percent a week ago.

Freddie Mac’s Primary Mortgage Market Survey showed a somewhat more gentle rise at 4.46 percent with an average 0.8 point, compared with 4.40 percent a week ago. It was the third week in a row that rates have risen.

"Mortgage rates followed bond yields higher this week as recently released economic data suggest the economy may be stronger this quarter than the previous,” said Freddie Mac Chief Economist Frank Nothaft said. “ Regional manufacturing indexes for Dallas , Chicago and Milwaukee all rose in November. In addition, the Federal Reserve noted that 10 of its 12 regions saw improvement through mid-November in its December 1st regional economic review.”

Bankrate also cited the exchange of fire between the two Koreas and the latest flare up of the European debt crisis as influencing the upward swing.

The 15-year fixed rate also moved higher, to 4.07 percent with 0.35 point from 3.97 percent a week ago, according to Bankrate, and to 3.81 percent with 0.7 point, from 3.77 percent a week ago.