Mortgage Rates Continue To Fall

Mortgage Rates Continue To Fall

Mortgage Rates Continue To Fall

The latest Bankrate.com survey of mortgage rates shows that mortgage rates in the U.S. have once again reached record lows.  The survey is conducted every Wednesday by analyzing data from the top 10 banks in the top 10 markets around the country.  News of the survey came on the heels of the Federal Reserve announcing they will pump another $600 billion into the economy over the coming eight months.

The survey found that the average 15-year fixed rate mortgage hit an all-time low of 3.81 percent.  A conforming 30-year fixed mortgage once again fell to 4.42 percent on average.  Jumbo mortgages and adjustable rate mortgages also saw interest rates fall once again. 

After the Federal Reserve made their announce to pump more money into the economy, many wondered if their attempt to lower the mortgage rate even lower would be effective and if so, how effective would they be.  Many analysts point out that at some point the interest rates simply cannot drop any further without hurting the economy more than the rates help.  Additionally, many point to the fact that even if the Fed does succeed in pushing rates even lower, many of the people the lower rates would help are now unemployed or worried about losing their job in the near future.

In a complimentary report accompanying the survey, a group of mortgage experts found that nearly half of the experts expected the Fed would be successful in pushing interest rates to a new all-time low.

The average mortgage rate has not been above 6 percent since November of 2008.


Log in