According to Freddie Mac, mortgage rates continue to decline and set new record lows! Reasons for the new historic lows are a weakening economy and the Federal Reserve’s continued purchase of mortgage securities.
The 30-year fixed rate mortgage averaged 3.36% for the week ending October 4, falling below the all-time low of 3.4% set last week. Last year at this time, the 30-year fixed rate mortgage averaged 3.94%. The 15-year fixed rate mortgage, a popular refinancing choice, averaged 2.69%, falling from 2.73% last week and setting a new record low. A year ago, the average rate for a 15-year fixed rate mortgage was 3.26%.