30 and 15-Year Fixed-Rate Mortgages Continue to Inch Downward

Freddie Mac this week released the results of its Primary Mortgage Market Survey , and for yet another week, the fixed-rate mortgages reached another low, while the 5-year adjustable rate remained tied at its low for this survey. 

30-year fixed-rate mortgage averaged 4.42 percent with an average 0.7 point for the week ending August 19, 2010, down from last week when it averaged 4.44 percent. Last year at this time, the 30-year FRM averaged 5.12 percent.

15-year FRM this week averaged a record low of 3.90 percent with an average 0.6 point, down from last week when it averaged 3.92 percent. A year ago at this time, the 15-year FRM averaged 4.56 percent.
This week marks the ninth straight week in the Primary Mortgage Market Survey that 30-year-fixed mortgage rates have met or set a new record low.

The Consumer Price Index indicates that current inflation is very low.  The last time price growth was this low was the year ending January 1966.  But this is also a sign that the economy is trying to right itself.

And what this all means to you… it’s a great time to buy a home.