Finally — The Federal Reserve Hikes Interest Rates

Federal Reserve Hikes Interest Rates For The First Time Since 2006

Contrast this with the the period from May 2004 to June 2006 — 18 rate hikes in all.

Chair Yellen delivers opening remarks at monetary policy research conference

Chair Janet Yellen delivers opening remarks at monetary policy research conference.

The wait is over. The Federal Reserve announced Wednesday that it is increasing the target for short term interest rates to a range of 0.25% to 0.50% from a range of 0% to 0.25%. The move, while small, is historically significant. The Fed has held interest rates near zero for seven years and has not raised them since 2006.

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photo credit: M2407962  (license)

Mortgage Rates Higher Again

Mortgage Rates Higher for Second Consecutive Week

A positive employment reports pushed Treasury yields up.

Little girl climbs steps.Freddie Mac released new Primary Mortgage Market Survey® (PMMS®) for the week ending November 12, 2015, showing average fixed mortgage rates rising amid continued market expectations of a possible rate increase by the Federal Reserve and following a stronger than expected jobs report.

INTERESTing Facts

  • 30-year fixed-rate mortgage (FRM) averaged 3.98 percent with an average 0.6 point for the week ending November 12, 2015, up from last week when it averaged 3.87 percent. A year ago at this time, the 30-year FRM averaged 4.01 percent.
  • 15-year FRM this week averaged 3.20 percent with an average 0.6 point, up from last week when it averaged 3.09 percent. A year ago at this time, the 15-year FRM averaged 3.20 percent.
  • 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.03 percent this week with an average 0.4 point, up from last week when it averaged 2.96 percent. A year ago, the 5-year ARM averaged 3.02 percent.
  • 1-year Treasury-indexed ARM averaged 2.65 percent this week with an average 0.2 point, up from 2.62 percent last week. At this time last year, the 1-year ARM averaged 2.43 percent.

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Mortgage Rates Vault Higher

30-year mortgage rate experienced its largest increase since June

Fed referred to a December rate hike as a ‘live possibility’

Pole vaulter takes off.Freddie Mac today released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending November 5, 2015, showing average fixed mortgage rates rising amid market expectations of possible rate increase by the Federal Reserve.

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Fixed Mortgage Rates Ride Lower

30-yr fixed-rate mortgage dips 3 basis points; 15-yr 5.

The housing market continues to benefit from low mortgage rates

Falling rates, prices.Freddie Mac released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending October 22, 2015, showing average fixed mortgage rates following Treasury yields lower, all to the further benefit the housing market. Continue reading

Mortgage Rates: Skooch Up, But 30-Yr Still Below 4.0%

Mortgage Rates Remain Below Four Percent for Twelve Weeks Straight

The 30-year mortgage rate climbed 6 basis points to 3.82 percent but failed to top 4.0 for the 12th straight week.

Little girl climbs steps.Freddie Mac today released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending October 15, 2015, showing average fixed mortgage rates nudging higher throughout the beginning of the week. However, Fed comments suggesting it may not raise short-term interest rates yesterday, coupled with weaker than expected consumer demand, pushed Treasury yields lower suggesting interest rates may remain lower than reported a while longer. Continue reading

Mortgage Rates Fall: Job’s Report More Than Disappoints

Rates Below Four Percent for the 11th Consecutive Week

Treasury Yields lower following a more than disappointing September jobs report

Freddie MacSlip, fall through the floor. today released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending October 8, 2015, showing average fixed mortgage rates following Treasury yields lower following a more than disappointing September jobs report. This continues to keep average rates below four percent for the 11th consecutive week, including the 15-year fixed falling below 3 percent once again for the first time since April of this year.

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Home Affordability at Levels Nearly 50% Higher Than In 2006

Buying a Home 48% More Affordable Than In 2006

RealtyTrac: U.S. Home Affordability Improves to a Two-Year Low in Q1 2015, Even as Home Price Growth Outpaces Wage Growth

Key to new home.Home prices on on the rise (August’s price increase marks the 42nd consecutive month of year–over–year gains), but a recent study by RealtyTrac reports that buying a home is still almost 50% more affordable than it was at the height of the housing bubble in 2006. The reason? They say the precipitous fall of interest rates have largely contributed to keeping homes more affordable at least in the first quarter of 2015, especially here, in our Midwest region. Continue reading

Mortgage Rates Up Again

Mortgage Rates Rise for Second Consecutive Week

Mortgage rates rose for the second straight week as 10-year T-note yields surged.

On the rise.Freddie Mac today released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending February 19, 2015, showing average fixed mortgage rates moving higher amid a strong employment report. Regardless, fixed-rate mortgages rates still remain near their May 23, 2013 lows.

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Jobs Report Nudges Mortgage Rates Higher

Stronger than Expected Jobs Report Nudges Mortgage Rates Higher

Mortgage rates rose this week following stronger employment picture and higher wages.

Horse play. Nudged higher.Freddie Mac released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending February 12, 2015, showing average fixed mortgage rates moving higher amid a strong employment report. Regardless, fixed-rate mortgages rates still remain near their May 23, 2013 lows. Continue reading

Fixed Mortgage Rates Reverse Course after Up-tick

Fixed Mortgage Rates Return to Downward Track

Mortgage rates turned south Again on weak pending home sales and sluggish GDP

Airplanes reverse course.Freddie Mac released the results of its Primary Mortgage Market Survey® (PMMS®) for the week ending February 5, 2015, showing average fixed mortgage rates, after ticking-up slightly last week, reversing course and falling amid weaker than expected housing and economic data. Fixed-rate mortgages rates are once again back near their May 23, 2013 lows.

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