The Summer started, the temperature went up, mortgage interest rates followed suit while inching up higher as the last week of Spring came to an end. What’s next for the end of June and the beginning of the long, hot 12 months of Summer? Today’s rates are better than they were last year at this stage of the game, by more than half of a point!
For the week ending June 20, Freddie Mac announced that 30-year fixed rates rose slightly to 3.84%. The average for 15-year loans decreased slightly to 3.25% and the average for five-year ARMs moved down to 3.48%. A year ago, 30-year fixed rates averaged 4.57%, over 0.5% higher than today. “While the continued drop in rates has paused, homebuyer demand has not. This is evident in increased purchase activity and loan amounts, indicating that homebuyers still have the willingness and capacity to purchase homes. Today’s low rates, strong job market, solid wage growth and consumer confidence are typically important drivers of home sales,” said Sam Khater, Chief Economist, Freddie Mac.
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.