Average 30-Year Mortgage Rate Drops to 3.57%
MCLEAN, Va. – All mortgage rate averages declined this week, with the average 30-year fixed mortgage dropping 8 basis points to 3.57%. Last week the FRM was 3.65%.
“Despite the economic slowdown due to weakening manufacturing and corporate investment, the consumer side of the economy remains on solid ground,” says Sam Khater, Freddie Mac’s chief economist.
“The fifty-year low in the unemployment rate combined with low mortgage rates has led to increased homebuyer demand this year,” Khater says. “Much of this strength is coming from entry-level buyers – the first-time homebuyer share of the loans Freddie Mac purchased in 2019 is forty-six percent, a two-decade high.”
The 30-year fixed-rate mortgage averaged 3.57% with an average 0.6 point for the week. A year ago at this time, the 30-year FRM averaged 4.90 percent.
The 15-year fixed-rate mortgage averaged 3.05 percent with an average 0.5 point, down from last week when it averaged 3.14 percent. A year ago, it was 4.29 percent.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.35 percent with an average 0.3 point, down from last week when it averaged 3.38 percent. A year ago, the 5-year ARM averaged 4.07 percent.