Yesterday, 6/30/2011, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 4.51%, up from 4.50% last week. The average interest rate for 15 year fixed-rate mortgages was 3.69%, unchanged from last week. A year ago the 30 year rate was 4.58%.
This is the fourth week in a row that rates have been hovering around the 4.50% mark. And a very low level it is! Again (like a broken record) it is the result of "mixed reports" concerning the strength of the economy and any recovery that might be taking place in the country. Though economic growth was up a bit, consumer spending was pretty dull. And if we don't spend, then there will be no new products needed to sell, and thus fewer workers in the factories. Saving is a great thing, but it does not create a lot of jobs.
However, in the housing sector there was some good news. The composite home price in 20 cities rose 0.7%. That was the first increase in nearly a year. Pending home sales also bounced back in May with the largest increase since November 2010.
Do keep in mind that we are a very large country. So figures that come out for the entire nation, may have little or no relevance for your particular area. In the end, it is best if you speak with a local REALTOR or financing expert to see what the situation is for your part of the United States. Florida is not Michigan, nor is Maine the same as California. Market conditions can be very different from place-to-place. Also, your own credit history, the property you want to buy, etc. will effect your specific loan options and interest rates. Your mortgage broker or bank loan officer can give you more specific information.
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.
I would also be happy to assist you in any way that I can. Just call JOHN ELWELL - REALTOR at CENTURY 21 Bill Nye Realty, Inc. : 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com You are also welcome at my webpage: www.jelwell.century21bnr.com
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