On August 8th, Freddie Mac reported that 30-year fixed-rate mortgages increased to 4.40% from the previous week’s rate of 4.39%. They also noted that last year at this time the 30-year rate was 3.59%.
The MBA in its most recent Weekly Mortgage Applications Survey released August 7th for the week ending August 2nd, reported that 30-year rates with conforming loan balances ($417,500 or less) rose to 4.61% from 4.58% during the previous week. The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $417,500) remained unchanged at 4.64%. Rates for FHA backed mortgages increased to 4.33% from 4.30% the previous week.
On August 9th, HSH Market Trends reported a drop in 30-year mortgage rates to 4.58% from 4.59% the previous week. Rates for FHA-backed mortgages also fell from 4.23% to 4.22%. HSH characterized the mortgage market as essentially being in the summer “doldrums” and predicted that mortgage interest rates would not change much during this coming week. They noted that the refinance market “ground to a halt” as a result of the rise in interest rates earlier this spring and summer and suggested that the strong price gains found in recent real estate reports might also be slowing due to these rate increases.