Mortgage Rates Reverse Course

Following three consecutive weeks of increases, the 30-year fixed-rate mortgage posted a drop this week. “The improvement in sentiment has been one of the main drivers behind the surge in equity prices and will provide a halo effect to consumer spending heading into the important holiday shopping season,” says Sam Khater, Freddie Mac’s chief economist.

Freddie Mac reports the following nationwide averages for the week ending Nov. 7:

  • 30-year fixed-rate mortgages: averaged 3.69%, with an average 0.5 point, falling from last week’s 3.78% average. Last year at this time, they averaged 4.94%.
  • 15-year fixed-rate mortgages: averaged 3.13%, with an average 0.4 point, dropping from last week’s 3.19% average. A year ago, they averaged 4.33%.
Source: Freddie Mac