FOSTER CITY, Calif., Jan. 14, 2015 (GLOBE NEWSWIRE) -- Rates on the most popular types of mortgages pressed a little lower this week, with fixed-rate mortgages burrowing slightly deeper into 20-month lows, according to HSH.com's Weekly Mortgage Rates Radar. The average rate for conforming 30-year fixed-rate mortgages fell by another six basis points (0.06 percent) to 3.77 percent. Conforming 5/1 Hybrid ARM rates decreased by eight basis points, closing the Wednesday-to-Tuesday wraparound weekly survey at an average of 3.04 percent.
"The world's economic and political pessimism continues to outweigh the relative optimism about the U.S. economy's prospects," said Keith Gumbinger, vice president of HSH.com. "With bonds in Germany and Japan at record low levels, U.S. yields look very attractive, and provide a place for investors to escape market turmoil and get a better return as well, even as the influx of cash to these shores continues to push U.S. yields somewhat lower."
A stumbling global economy, shaky Euro currency union and low inflation in many places are creating a perfect environment for rates to ease. The 30-year fixed mortgage rate tracked in HSH's MRR has fallen by nearly a quarter percentage point since the first week of December, bringing new chances for homeowners to refinance, while also allowing potential homebuyers to qualify for a larger mortgage without increasing their monthly payment.
"Many New Year's resolutions come with a commitment to pay down debt," adds Gumbinger. "One method of permanently canceling debt is to refinance to a shorter-term mortgage, trimming years off the term and savings thousands of dollars in interest costs at the same time. In some cases, this can be done for virtually the same monthly payment, possibly less, and is a great way to get your long-run finances rounded into shape."
Average mortgage rates and points for conforming residential mortgages for the week ending January 13, according to HSH.com:
Conforming 30-year fixed-rate mortgage
Average Rate: 3.77 percent
Average Points: 0.18
Conforming 5/1-year adjustable-rate mortgage
Average Rate: 3.04 percent
Average Points: 0.09
Average mortgage rates and points for conforming residential mortgages for the previous week ending January 06 were, according to HSH.com:
Conforming 30-year fixed-rate mortgage
Average Rate: 3.83 percent
Average Points: 0.19
Conforming 5/1-year adjustable-rate mortgage
Average Rate: 3.12 percent
Average Points: 0.09
Methodology
The Weekly Mortgage Rates Radar reports the average rates and points offered on conforming 30-year fixed-rate mortgages and conforming 5/1 ARMs. The weekly mortgage rate survey covers a large sample of mortgage lenders and is conducted over a Wednesday-to-Tuesday cycle, with data released every Wednesday. HSH.com ís survey helps consumers find the best rates on home loans in changing market conditions. Unlike mortgage rate surveys that report average rates only, the Weekly Mortgage Rates Radarís inclusion of both average rates and average points provides a more accurate view of mortgage terms currently offered by lenders.
Every week, HSH.com conducts a survey of mortgage rate data for a wide range of consumer mortgage products including ARMs, FHA-backed and jumbo mortgages, as well as home equity loans and lines of credit from hundreds of direct lenders in the U.S. For information on additional loan products, visit HSH.com.
About HSH.com
HSH.com is a trusted source of mortgage data, trends, news and analysis. Since 1979, HSHís market research and commentary has helped homeowners, buyers and sellers make smart financial choices and save money on mortgage and home equity products. HSH.com, of Riverdale, N.J., is owned and operated by QuinStreet, Inc. (NASDAQ: QNST), one of the largest Internet marketing and media companies in the world. QuinStreet is committed to providing consumers and businesses with the information they need to research, find and select the products, services and brands that best meet their needs. The company is a leader in ethical marketing practices. For more information, please visit QuinStreet.com.
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