Residential financing rates remain low as 2014 comes to a close
Posted on Monday, December 29, 2014 at 7:57:51 AM
The year for residential financing rates has finally ended, and recent figures following an up-and-down 2014 have been positive for today's homebuyers.
According to Freddie Mac, the 30-year fixed-rate mortgage averaged only 3.83 percent for the week ending Dec. 24. While that is up slightly on a weekly basis, it remains close to yearly lows and below the 4.48 percent reported during the same time in 2013. On a similar note, the 15-year FRM averaged 3.10 percent for the week ending Dec. 24, essentially the same as it was one week ago, at 3.09 percent.
"Mortgage rates were up slightly, following a week of mixed economic releases," explained Frank Nothaft, vice president and chief economist at Freddie Mac. "Existing home sales were down 6.1 percent in November to annual rate of 4.93 million units, below economists' expectations. New home sales fell 1.6 percent last month to an annual rate of 438,000, also below expectations."
In addition, Redfin reported that homebuying conditions have improved in many of the busiest markets across the country. The frequency of a bidding war slipped in areas of San Francisco, Boston, Los Angeles and other competitive cities.