Mortgage rates rise from last week's record lows
| Washington
Average U.S.聽rates聽on fixed聽mortgages聽ticked up from record lows last week. Cheaper聽mortgages聽are fueling a modest housing recovery that could help the broader economy.
惭辞谤迟驳补驳别听产耻测别谤 Freddie Mac said Thursday that the聽rate聽on the 30-year loan increased to 3.39 percent from 3.36 percent. The previous week's聽rate聽was the lowest since long-term聽mortgages聽began in the 1950s.
The average on the 15-year fixed聽mortgage聽edged up to 2.70 percent, from last week's record low of 2.69 percent.
The average聽rate聽on the 30-year fixed聽mortgage聽has been below 4 percent all year. And聽rates聽have fallen even further since the Federal Reserve started buying聽mortgage聽bonds in September to encourage more borrowing and spending.
The Fed said it will continue buying bonds until the job market shows substantial improvement. When home prices rise, people tend to feel wealthier and spend more freely. Consumer spending drives nearly 70 percent of economic activity.
Stronger housing markets helped boost economic growth at the end of the summer in nearly every region of the United States, according to a Fed survey released Wednesday. The survey follows other reports that show marked improvement in the housing market five years after the bubble burst.
Home sales are up from last year and home prices are rising more consistently in most areas. Builders are more confident and starting more homes. Lower聽rates聽have also persuaded more people to refinance. That typically leads to lower monthly聽mortgagepayments and more spending.
Still, the housing market has a long way to full recovery. And many people are unable to take advantage of the low聽rates, either because they can't qualify for stricter lending rules or they lack the money to meet larger down payment requirements.
To calculate average聽rates, Freddie Mac surveys lenders across the country on Monday through Wednesday of each week.
The average does not include extra fees, known as points, which most borrowers must pay to get the lowest聽rates. One point equals 1 percent of the loan amount.
The average fee for 30-year loans was 0.7 point, up from 0.6 point last week. The fee for 15-year loans rose to 0.6 point from 0.5.
The average聽rate聽on one-year adjustable-rate聽mortgages聽increased to 2.59 percent from 2.57 percent. The fee for one-year adjustable聽rate聽loans was unchanged at 0.4 point.
The average聽rate聽on five-year adjustable-rate聽mortgages聽edged up to 2.73 percent from 2.72 percent. The fee held steady at 0.6 point.
