Lower Mortgage Rates Spurs Loan Demand – 30 Year Rates as Low as 4.00%
Lower mortgage rates are causing demand for home loans increasing as homebuyers lock in rates. The Mortgage Bankers Association reported their Market Composite Index, which measures all mortgage loan application volume, increased 1.9 percent on a seasonally adjusted basis from the previous week.
During this time, average 30 year mortgage rates declined from 4.27 percent to today's average rate of 4.19 percent. Average mortgage rates are not far from the record lows set in 2013. The all-time record low for average 30 year rates was 3.27 percent, less than a 1.00 percent difference from the current rate of 4.19 percent.
These rates are average interest rates and there are plenty of lenders quoting 30 year mortgage refinance rates below the average. Checking on the rate list, several lenders are quoting conforming 30 year rates as low as 3.75 percent with points. Mortgage points allow you to "buy down" the rate, so you basically pay a fee upfront to receive the lower rate.
Mortgage rates today on 15 year conforming loans are averaging 3.26 percent, down from an average rate of 3.33 percent last week. The best 15 year refinance rates available are much lower than the average rate. Right now the best 15 year rate with points is at 2.75 percent and the best rate without points is at 2.875 percent.
Current mortgage rates on 30 year jumbo loans are averaging 4.54 percent, a decline from last week's average 30 year jumbo mortgage rate of 4.65 percent. The best jumbo rates show that the lowest rates are at 3.875 percent with points and the lowest rate without points is 4.00 percent.
Today's mortgage rates on 15 year jumbo loans are averaging 3.73 percent, lower than last week's average 15 year rate of 3.81 percent. Right now the best 15 year rates available are at 3.125 percent with 1 mortgage point and at 3.375 percent with zero points.
Average 5 year conforming adjustable mortgage rates are at 3.64 percent, down from the previous week's average rate of 3.72 percent. There are lenders still offering 5 year adjustable rates much lower than the average. Currently the lowest rate with points is at 2.375 percent with points and at 2.50 percent with no points.
5 year jumbo adjustable mortgage rates are averaging 3.45 percent, down from last week's average 5 year jumbo rate of 3.52 percent. The lowest 5 year jumbo refinance rates available are also much lower than the average at 2.625 percent with points and at 2.875 percent with no points.
RatesORama.com Average Mortgage Rates