According to Freddie Mac's latest Primary Mortgage Market Survey, the average U.S. mortgage rate continued its upward trajectory, as seen in most of 2018 to date.
Sam Khater, Freddie Mac chief economist, says mortgage rates increased for the third consecutive week, climbing 11 basis points to 4.58 percent. "Mortgage rates are now at their highest level since the week of August 22, 2013," he said. "Higher Treasury yields, driven by rising commodity prices, more Treasury issuances and the steady stream of solid economic news, are behind the uptick in rates over the past week."
Added Khater, "Despite the increase in borrowing costs, demand for home purchase credit remains solid. The Mortgage Bankers Association reported in their latest mortgage applications survey that activity was up 11 percent from a year ago."
Freddie Mac News Facts
30-year fixed-rate mortgage (FRM) averaged 4.58 percent with an average 0.5 point for the week ending April 26, 2018, up from last week when it averaged 4.47 percent. A year ago at this time, the 30-year FRM averaged 4.03 percent.
15-year FRM this week averaged 4.02 percent with an average 0.4 point, up from last week when it averaged 3.94 percent. A year ago at this time, the 15-year FRM averaged 3.27 percent.
5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.74 percent this week with an average 0.3 point, up from last week when it averaged 3.67 percent. A year ago at this time, the 5-year ARM averaged 3.12 percent.
According to he Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey for the week ending April 20, 2018, mortgage applications in the U.S. decreased 0.2 percent from one week earlier,
According the National Association of Home Builders, U.S. builder confidence in the market for newly built single-family homes edged down one point to a level of 69 in April 2018 on the National Association of Home Builders/Wells Fargo Housing Market Index (HMI).