Find a list of your saved stories here

Average US mortgage rates rise; 30-year at 4.03 percent


Save Story

Save stories to read later


Estimated read time: 1-2 minutes

This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

WASHINGTON (AP) — Long-term U.S. mortgage rates rose this week for the second straight week. The benchmark 30-year rate surpassed the significant 4 percent level for the first time since May.

Mortgage buyer Freddie Mac said Thursday the rate on 30-year, fixed-rate mortgages increased to an average 4.03 percent from 3.96 percent last week. It stood at 3.42 percent a year ago and averaged a record low 3.65 percent in 2016.

The rate on 15-year, fixed-rate home loans, popular with homeowners who are refinancing their mortgages, rose to 3.29 percent last week from 3.22 percent.

Mortgage rates still remain historically low, even though the Federal Reserve has begun to ratchet up short-term interest rates. In testimony to Congress this week, Fed Chair Janet Yellen raised the possibility that the Fed would consider slowing the pace of its interest rate increases if inflation remained persistently below its target level.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country between Monday and Wednesday each week. The average doesn't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.

The average fee for a 30-year mortgage fell to 0.5 point from 0.6 point last week. The fee on 15-year loans was unchanged at 0.5 point.

Rates on adjustable five-year loans rose to 3.28 percent from 3.21 percent last week. The fee held steady at 0.5 point.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Most recent Business stories

Related topics

Business
The Associated Press

    STAY IN THE KNOW

    Get informative articles and interesting stories delivered to your inbox weekly. Subscribe to the KSL.com Trending 5.
    By subscribing, you acknowledge and agree to KSL.com's Terms of Use and Privacy Policy.

    KSL Weather Forecast