Mortgage Rates

Mortgage Rates Drop to Two-Year Lows

The 30-year fixed mortgage rate fell to a more than two-year low in the week ended Nov. 29, slipping to 6.1 percent from 6.2 percent the prior week. Freddie Mac also reported that the 15-year fixed loan rate fell to 5.73 percent from 5.83 percent over that same time span, and that interest on five-year adjustable-rate mortgages dipped to 5.86 percent from 5.88 percent. Meanwhile, the one-year ARM bumped up to 5.43 percent from 5.42 percent. Freddie Mac chief economist Frank Nothaft attributed the decline in mortgage rates to worries about an economic downturn tied to the weak housing and credit markets, which has pushed down interest rates on U.S. Treasuries.

Source: Baltimore Sun (11/30/07)