Monday, April 30, 2012—
Mortgage rates moved into record low territory again last week, with
the average rate on the benchmark 30-year fixed mortgage rate ticking
lower to 4.09 percent, according to Bankrate.com's weekly national
survey. The average 30-year fixed mortgage has an average of 0.43
discount and origination points.
The average 15-year fixed mortgage rate pulled back to 3.28 percent—also
a record low t—while the jumbo 30-year fixed mortgage held at 4.61
percent. Adjustable mortgage rates were mixed, with the average 3-year
adjustable down for a third consecutive week to a new low of 3.06
percent, while the 7-year and 10-year ARMs both inched higher, to 3.20
percent and 3.53 percent, respectively.
Although corporate earnings have been strong, recent economic data has
been more suspect and the European debt crisis is an ongoing saga.
Together, these are keeping both bond yields and mortgage rates at
historic lows. Mortgage rates are closely related to yields on long-term
The last time mortgage rates were above 6 percent was Nov. 2008. At the
time, the average 30-year fixed rate was 6.33 percent, meaning a
$200,000 loan would have carried a monthly payment of $1,241.86. With
the average rate now 4.09 percent, the monthly payment for the same size
loan would be $965.24, a difference of $276 per month for anyone