Freddie Mac released its weekly update on national mortgage rates on Thursday morning, reflecting a significant drop in the cost of buying a home pretty much across the board.
Both 30-year fixed-rate mortgages (FRMs) and 15-year FRMs got cheaper over the past seven days, with 30-year FRMs falling seven basis points to 4.34% and 15-year FRMs dropping nine b.p. to 3.38%. One year ago, 30-year FRMs cost 3.43%, and 15-years 2.65%.
Adjustable-rate mortgages (ARM) also got cheaper, with 5/1 ARMs shedding three basis points to fall to 3.09%, and 1-year ARMs falling four b.p. to 2.41%. A year ago, both types of ARMs cost an identical 2.62%.
Freddie Mac vice president and chief economist Frank Nothaft attributed the falling rates to a decline in 10-year Treasury yields and a somewhat weaker-than-expected employment report for March, where the number of jobs added in the month -- 192,000 -- fell slightly short of expectations.