Boston mortgage rates flat in latest survey, only 4.51% for fixed-rate loan
Jun 2011 30

The average rate on a 30-year fixed rate mortgage loan increased just one basis point to 4.51% in the latest Freddie Mac weekly survey of loan providers.

The 30-year fixed-rate mortgage (FRM) averaged 4.51 percent with an average 0.7 point for the week ending June 23, up from 4.5% last week. Last year at this time, the 30-year FRM averaged 4.58 percent.

A $400,000, 30-year, fixed-rate mortgage at 4.51 percent would run you approximately $2,029 per month in loan repayments. This is $3 more than last week and $17 in monthly savings compared to last year, when it would have cost you $2,046 per month.

Frank Nothaft, vice president and chief economist at Freddie Mac says, “Interest rates on 30-year fixed mortgages hovered around 4.5 percent for the fourth consecutive week following mixed reports on the strength of the economy. First quarter economic growth was revised up in the final estimate, but growth in consumer spending stagnated in May while April’s figure was revised downward; consumer expenditures account for roughly two-thirds of the nation’s gross domestic product.

“Meanwhile, there were some signs of improvement in the housing market. In April, the S&P/Case-Shiller® 20-city composite home price index rose 0.7 percent, representing the first monthly increase since July 2010. However, much of the improvement reflected the seasonal increase in homebuying over the spring-summer period. Pending existing home sales rebounded in May, exhibiting the largest monthly increase since November 2010.”

Conforming loan limits are scheduled to be reduced in the fall. This means those buying in the $400,000′s to $600,000′s may see higher rates at that time. Let me know if I can provide more information.

Leave a Comment