Mortgage Interest Rates Continue to Edge Upward Despite Fed Rate Cut Says, Freddie Mac

Today 5/1/08 Freddie Mac reported that for the second week in a row average mortgage interest rates for 30 and 15 year fixed-rate loans have moved upward a bit. Nationally the average mortgage interest rate for 30 year fixed-rate mortgages was 6.06% (6.02% in the southeast), up from 6.03% a week ago. The average interest rate for 15 year fixed-rate mortgages was 5.59%, up from 5.62% last week. A year ago the 30 year rate was 6.16%.

Due to a mixed bag of reports concerning a weaker housing market and higher inflation, the interest rates moved only slightly.

The Federal Reserve did lower its Funds Rate by 0.25% yesterday. It now stands at 2%. Some experts felt they might not lower the rate at all, based on inflation fears, as was mentioned here in my blog last week. Most pundits now believe that this will be the last rate cut for the near future, barring any serious threats to the economy that might force the Fed to act once again.

If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com  and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.

If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.