Fixed-Rate Mortgage Matches Record Low

Freddie Mac recently released some results indicating that average fixed mortgage rates are at or near their all-time lows. The 30-year fixed matched the average all-time record low of 3.94 percent, and a new all-time record low was set for the 15-year fixed. The five-year ARM also set a new all-time record low at 2.86 percent for the week.

30-year fixed-rate mortgage averaged 3.94 percent with an average 0.8 point for the week ending December 15, 2011, down from the previous week when it averaged 3.99 percent. Last year at this time, the 30-year FRM averaged 4.83 percent.

Five-year, Treasury-indexed hybrid adjustable-rate mortgage averaged 2.86 percent this week, with an average 0.6 point, down from last week when it averaged 2.93 percent. A year ago, the five-year ARM averaged 3.77 percent.

Mortgage rates were at or near all-time record lows this week within a rough environment for housing. In its December 13th monetary policy announcement, the Federal Reserve reiterated the housing market remains down. Over the first nine months of 2012, households lost almost $400 billion in property values which contributed to a $1.4 trillion reduction in overall net worth, according to Freddie Mac.

According to the Mortgage Bankers Association, serious delinquency rates on mortgages increased slightly between June 30 and September 30 of the year, breaking a six-quarter consecutive decline.