ABBA First Mortgage News

For the two weeks preceeding the hurricane until today- the 18th of September- Rates have worsened!

Rates were up again in the past week, but started to level off towards the end of the survey period. For the week ending September 13, Freddie Mac announced that 30-year fixed rates increased to 4.60% from 4.54% the week before. The average for 15-year loans rose to 4.06% and the average for five-year adjustables remained at 3.93%. A year ago, 30-year fixed rates averaged 3.78%. Attributed to Sam Khater, Chief Economist, Freddie Mac –“The one-two punch of strong job and consumer credit growth drove rates on home loans up to their highest mark since August 2. Rates are currently 0.82 percent higher than a year ago, which is the biggest year-over-year increase since May 2014. Looking ahead, annualized comparisons for applications may look weaker than they appear, but that’s primarily because of the large spread between rates now and last September, which was when they reached their low for last year. Overall, this spectacular stretch of solid job gains and low unemployment should help keep homebuyer interest elevated. However, rates will likely also move up, as the Federal Reserve considers short-term rate hikes this month and at future meetings.” 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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