Mortgage Rates Stable Today though 4 Quarter GDP Contracts 0.1 Percent
mortgage rates today are stable as a surprisingly weak fourth quarter GDP report was released this morning showing the economy contracted 0.1 percent for the October to December quarter. Economists' estimates were for the GDP to grow 1.00 percent but the news isn't as bad as it looks.
The economy contracted because of two factors, the biggest decrease in defense spending in 40 years and slower inventory growth subtracted a total of 2.6 percentage points from growth. These are one-time factors which won't subtract from GDP in the first quarter of 2013. This is the first quarter of contraction since the second quarter of 2009 and the end of the financial crisis and "great recession."
10 year U.S. Treasury yields are 4 basis points higher on the news and the yield is now over 2.00 percent for the first time since the spring of 2012. Higher yields on bonds will mean higher mortgage rates in the coming days. Today's mortgage rates on 30 year conventional home loans are averaging 3.56 percent, an increase from last week's average 30 year mortgage rate of 3.44 percent.
Average 30 year conforming mortgage interest rates have increased the past month after making record lows at the end of 2012. The average rate has increased but there are many lenders quoting 30 year conforming mortgage rates well below the average of 3.56 percent. Depending on the state, the lowest 30 year refinance rates right now are around 2.875 percent with 3.00 percent with points. The best refinance rates without points are are slightly higher at 3.25 percent to 3.50 percent depending on the state and lender.
Mortgage interest rates on 15 year conventional loans are also higher this week over last. The current average 15 year rate is at 2.95 percent, an increase from last week's average 15 year mortgage interest rate of 2.86 percent. The lowest 15 year refinancing rates right now in our rate database are at 2.25 percent with points. The lowest refi rates without points on 15 year conforming loans are at 2.625 percent.
30 year jumbo mortgage rates today are averaging 4.14 percent, an increase from last week's average 30 year jumbo mortgage rate of 4.03 percent. The lowest current jumbo rates quoted on our rate table are below the average rate. The lowest jumbo refinance rates without points right now in California are at 3.375 percent.
15 year jumbo refinance mortgage rates are averaging 3.41 percent, an increase from an average 15 year jumbo rate of 3.35 percent last week. The best 15 year jumbo rate quotes right now in our database for the state of California are at 2.875 percent with points. The lowest 15 year jumbo refi rate without points are slightly higher at 3.25 percent.
Average 5 year adjustable mortgage rates are at 2.87 percent this week, up from an average 5 year adjustable mortgage rate of 2.81 percent. The lowest 5 year adjustable refinance rates on our rate for California lists are well below the average at 1.625 percent with points. The lowest rate without points are also well below the average at 2.25 percent.
Jumbo adjustable mortgage rates on 5 year jumbo loans are averaging 2.99 percent, an increase from an average 5 year jumbo adjustable rate of 2.90 percent. The best 5 year jumbo refinance rates on our rate list for California are at 2.39 percent with no mortgage points.
RatesORama.com Average Mortgage Rates