Freddie Mac, Bankrate report mortage rates rising

By Palm Beach Business.com

DELRAY BEACH — Interest rates inched higher amid a wave of positive news on the economy, according to Freddie Mac and Bankrate.com.

Freddie Mac’s Primary Mortgage Market Survey for the week found the 30-year fixed-rate mortgage averaging 4.84 percent, with an average 0.7 point. A week ago, the 30-year averaged 4.78 percent. A year ago, the 30-year sat at 6.05 percent.

Bankrate weekly national mortgage survey, meanwhile, pegged the 30-year at 5.27 percent, up from last week’s 5.23 percent.

The Freddie Mac survey also found 15-year mortgage at 4.51 percent, with an average 0.7 point, up from last week’s 4.48 percent.

Five-year adjustable-rate mortgages averaged 4.90 percent this week, with an average 0.6 point, up from last week’s 4.80 percent.

One-year ARMs averaged 4.78 percent this week with an average 0.6 point, up from last week’s 4.77 percent.

The Bankrate survey also found the 15-year fixed rate mortgage averaging 4.78 percent, up from 4.73 percent a week ago, and five-year ARMs at 5.07 percent, up from 5.05 percent.

"Mortgage rates rose slightly this week amid positive economic news that the economy may be approaching the bottom of the recession," Freddie Mac Chief Economist Frank Nothaft said.

The Reuter’s/University of Michigan’s consumer sentiment index for April came in higher than expected, while the ISM Manufacturing Index for April also exceeded market expectations.

"In addition, the positive news was corroborated by Fed Chairman Bernanke when he stated that he expects economic activity to bottom out, then to turn up later this year,” Nothaft said. “He also noted that the housing market is beginning to stabilize.”