According to Freddie Mac's latest Primary Mortgage Market Survey, the average mortgage rate in the U.S. continued to inch higher at the end of 2017.
Len Kiefer, Deputy Chief Economist of Freddie Mac said, "As we expected, mortgage rates felt the effect of last week's surge in long-term interest rates in the final, shortened week of 2017. The 30-year fixed mortgage rate increased 5 basis points to 3.99 percent in this week's survey. Although this week's survey rate represents a five-month high, 30-year fixed mortgage rates are still below the levels we saw at the end of last year and early part of 2017. Mortgage rates have remained relatively low all year."
Freddie Mac News Facts
30-year fixed-rate mortgage (FRM) averaged 3.99 percent with an average 0.5 point for the week ending December 28, 2017, up from last week when it averaged 3.94 percent. A year ago at this time, the 30-year FRM averaged 4.32 percent.
15-year FRM this week averaged 3.44 percent with an average 0.5 point, up from last week when it averaged 3.38 percent. A year ago at this time, the 15-year FRM averaged 3.55 percent.
5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.47 percent this week with an average 0.3 point, up from last week when it averaged 3.39 percent. A year ago at this time, the 5-year ARM averaged 3.30 percent.
According to data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, U.S. sales of newly built, single-family homes fell to a seasonally adjusted annual rate of 553,000 units after downwardly revised August, July and June reports.
According to Freddie Mac's July 2018 Housing Forecast, exceptionally low housing supply and weaker affordability slowed the housing market in the first half of 2018, but total sales activity should still slightly top year-ago levels.