Just a brief update here:
According to Zillowâ€™s weekly mortgage rates survey, the average rate on a 30 year fixed mortgage was unchanged last week, staying at 4.14 percent. Â The average rate on a 15 year fixed mortgage was 3.6 percent, and the average rate on a 5/1 ARM was 3.01 percent. Freddie Macâ€™s mortgage rate survey comes out tomorrow, and it will likely show a fairly similar result.
Mortgage rates have been at or close to historical low points for about two months now. Â The low rates are attributable to a number of factors, but the prospect of additional quantitative easing from the Federal Reserve is one of the main reasons they continue to hit all-time lows.
While low mortgage rates have encouraged many borrowers to refinance their existing mortgages, they have not spurred home sales as some may have hoped. Â The market is still depressed from general economic conditions and the lack of demand following the expiration of the homebuyer tax credits in April.