Average Mortgage Rates Hold Steady as 10 Year Treasury Yields Near 3.00 Percent
Average mortgage rates held steady the past several weeks but rates will be moving higher in the coming week. Market forces drove 10 year Treasury yields near 3.00 percent on concern the Fed will begin winding down their bond buying program. Since lenders tie mortgage rates to long term bond yields we can expect rates to move higher.
Mortgage Rates Will Move Higher on Strong Job Growth
Two employment reports were released that will send bond yields and mortgage rates even higher. The payroll processing company, ADP, announced the private sector added 176,000 jobs in August. The Labor Department said the number of Americans filing new claims for jobless benefits fell 9,000 last week to 323,000, a near five-year low and the lowest point since the recession.
On the news, 10 year bond yields are up 8 basis points to 2.93 percent, the highest point in 2013. Tomorrow the Labor Department will release non-farm payrolls for the month of August and the current unemployment rate. Analysts are expecting 210,000 new jobs to have been created and the unemployment rate to tick up 0.1 percent to 7.5 percent.
Mortgage Rates Today Conforming Loans
Numbers stronger than expected will send 10 year bond yields over 3.00 percent which will send mortgage rates higher. Mortgage rates today on 30 year conforming loans are averaging 4.46 percent. Next week we could see 30 year mortgage rates move to the 3.65 percent range. Currently there are lenders on our rate list offering 30 year rates as low as 4.00 percent with points.
Today's mortgage rates on 15 year conventional loans are averaging 3.49 percent, up from Tuesday's average 15 year mortgage rate of 3.45 percent. Next week average 15 year rates will move above 3.50 percent and probably as high as 3.70 percent. The lowest 15 year refinance rates on our rate list today are at 3.625 percent.
Current Mortgage Rates on Jumbo Loans
Average jumbo mortgage rates are also higher today and will move higher this coming week. Current mortgage rates on 30 year jumbo loans are averaging 4.70 percent, up from Wednesday's average 30 year jumbo mortgage rate of 4.67 percent. The lowest jumbo refinance rates on our rate list right now are at 4.375 percent with points.
15 year jumbo mortgage rates are currently averaging 4.05 percent, up from Wednesday's average 15 year jumbo rate of 4.01 percent. This week, average 15 year jumbo rates will move above 4.15 percent but right now you can still find jumbo rates below 4.00 percent. The lowest 15 year jumbo rate in our database are currently at 3.75 percent with points.
Adjustable Mortgage Rates Today
Average 5 year adjustable conforming mortgage rates are at 3.56 percent, up from yesterday's average 5 year adjustable rate of 3.49 percent. If you're willing to pay points, the lowest 5 year conforming rates on our rate list are still below 3.00 percent at 2.50 percent. The lowest 5 year conforming rates without points are at 2.75 percent.
Jumbo 5 year adjustable rates are averaging 3.30 percent, up from an average 5 year jumbo rate of 3.27 percent set yesterday. Next week 5 year jumbo rates will probably remain near current levels. The lowest 5 year jumbo refinance rates on our rate list are at 2.625 percent and the lowest 5 year rates without points are at 3.00 percent.
RatesORama.com Average Mortgage Rates