According to Freddie Mac’s Primary Mortgage Market Survey (PMMS), the average rate for a 30-year fixed rate mortgage was 3.03%, just 0.01 percentage points higher than the previous week. Meanwhile, the 15-year fixed rate mortgage trended down slightly, dropping 0.02 percentage points from its previous week’s rate of 2.53%.
As always, there are regional differences that should be taken into consideration when looking at overall mortgage rate trends. Rates in the Midwest were relatively steady, as the average rate for the 30-year fixed rate mortgage held steady at 3.05% for the region. However, other regions saw slight upticks this week. The Northeast region, for example, saw the average rate on a 30-year fixed rate mortgage climb from 3.00% to 3.03%. Rates were also up in the South and West, with those regions seeing rates jump from 2.98% to 3.02%, and 2.99% to 3.04%, respectively.
At the same time, the survey found that the average rate on a 5/1 adjustable rate mortgage (ARM) remained unchanged at 3.22%. ARMs remain attractive because adjustable rate mortgages initially offer lower interest rates than fixed rate mortgages. However, they can also be riskier because they come with variable rates that can rise over time.
The stable mortgage rate environment is great news for homebuyers and current homeowners alike. Despite the uncertainty of the pandemic, rates remain low, making it a great time for those looking to purchase or refinance a home. That said, potential buyers should keep an eye on their local markets, as different regions could see different trends in terms of rates.
This week saw mortgage rates remain mostly flat, with small upticks in some regions, according to Freddie Mac's Primary Mortgage Market Survey. The 30-year fixed rate mortgage averaged 3.03%, up 0.01 percentage points from the previous week, while the 15-year fixed rate mortgage dropped 0.02 percentage points to 2.53%. The average rate on the 5/1 adjustable rate mortgage remained unchanged at 3.22%. Regional differences should be taken into consideration when looking at mortgage rate trends, however, as rates in the Northeast, South, and West all experienced bumps this week.
Despite overall stable trends in mortgage rates, this is still an uncertain economic climate, and buyers should be mindful of that when considering their mortgages. That said, with the low rates that are available, now is still a great time to purchase or refinance a home. It is recommended to compare lenders and understand the nuances between fixed and adjustable rate mortgages. Additionally, regions should be monitored to ensure that buyers get the best possible rate for their needs. With careful decision making, buyers can take advantage of the opportunities that the current mortgage market has to offer.
This article was contributed on Nov 14, 2023