For the week ending May 6, Freddie Mac announced that 30-year fixed rates decreased slightly to 2.96% from 2.98% the week before. The average for 15-year loans fell one tick to 2.30% and the average for five-year ARMs rose to 2.70%. A year ago, 30-year fixed rates averaged 3.26%, 0.30% higher than today. “Mortgage rates have remained under three percent for three consecutive weeks. Consumer income and spending are picking up, which is leading to an acceleration in economic growth. The combination of low and stable rates, coupled with an improving economy, is good for homebuyers. It’s also good for homeowners who may have missed prior opportunities to refinance and increase their monthly cash flow,” 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.