According to Freddie Mac's latest Primary Mortgage Market Survey, U.S. mortgage rates continued their downward trend to end the week and 2018 lower.
Sam Khater, Freddie Mac's chief economist, says, "Rates continued their two-month slide and are currently hovering around the same level as the early summer, which was before the deterioration in home sales. The negative headlines around the financial markets are concerning but the economy remains healthy, so the drop in mortgage rates should stem or even reverse the slide in home sales that occurred during the second half of 2018."
Freddie Mac News Facts
30-year fixed-rate mortgage (FRM) averaged 4.55 percent with an average 0.5 point for the week ending December 27, 2018, down from last week when it averaged 4.62 percent. A year ago at this time, the 30-year FRM averaged 3.99 percent.
15-year FRM this week averaged 4.01 percent with an average 0.4 point, down from last week when it averaged 4.07 percent. A year ago at this time, the 15-year FRM averaged 3.44 percent.
5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.00 percent with an average 0.3 point, up from last week when it averaged 3.98 percent. A year ago at this time, the 5-year ARM averaged 3.47 percent.
International property consultant CBRE is reporting this week that global commercial real estate investment volume in Q4 of 2019, including entity-level deals, was nearly level (-0.5%) with Q4 2018, while full-year volume fell by 2% from 2018.
According to new research by Zillow, the total value of every home in the U.S. is $33.6 trillion, nearly as much as the GDP of the two largest global economies combined -- the U.S. ($20.5 trillion) and China ($13.6 trillion).
Based on research from Learnbonds.com indicates that U.S. mortgage debt is now the highest since the Great Depression in 2008. The outstanding US mortgage debt which has been growing steadily in recent years hit a record high of $15.8 trillion in Q3 2019.