ABBA First Mortgage News

Although rates were stable, concerns suggest that they may go up

Rates for home purchases remained at record lows this week. For the week ending June 25, Freddie Mac announced that 30-year fixed rates remained at 3.13%. The average for five-year ARMs eased slightly to 3.08%. A year ago, 30-year fixed rates averaged 3.73%, more than 0.50% higher than today. Attributed to Sam Khater, Chief Economist, Freddie Mac – “After the Great Recession, it took more than ten years for purchase demand to rebound to pre-recession levels, but in this crisis, it took less than ten weeks. The rebound in purchase demand partly reflects deferred sales as well as continued interest from prospective buyers looking to take advantage of the low interest rate environment.” Note: Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.

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