NEW YORK, July 9 /PRNewswire-FirstCall/ -- The average 30-year fixed mortgage rate fell for the third time in four weeks, with the average rate dropping to 5.59 percent, according to Bankrate.com's weekly national survey. The average 30-year fixed mortgage has an average of 0.4 discount and origination points.
The average 15-year fixed rate mortgage retreated to 4.93 percent, while the average jumbo 30-year fixed rate dipped to 6.86 percent. Adjustable rate mortgages were mixed, with the average 1-year ARM inching higher to 5.18 percent and the 5-year ARM sinking to 5.05 percent.
A disappointing June jobs report, coupled with the onset of quarterly earnings season, has many again viewing the economic glass as half-empty. As a result, investors have piled back into government and mortgage-backed bonds, bringing mortgage rates back to levels last seen on Memorial Day. Mortgage rates are closely related to yields on long-term government debt. The recent pullback in mortgage rates is presenting an opportunity for refinancers to lock in. Holding out for the return of sub-5 percent rates, however, may prove to be fruitless.
Mortgage rates remain much lower than one year ago. This time last year, the average 30-year fixed mortgage rate was 6.48 percent, meaning a $200,000 loan would have carried a monthly payment of $1,261.51. With the average rate now 5.59 percent, the monthly payment for the same size loan would be $1,146.90, a savings of $114 per month for a homeowner refinancing now.
SURVEY RESULTS 30-year fixed: 5.59% -- down from 5.7% last week (avg. points: 0.4) 15-year fixed: 4.93% -- down from 5.07% last week (avg. points: 0.43) 5/1 ARM: 5.05% -- down from 5.17% last week (avg. points: 0.37)
Bankrate's national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in the top 10 markets.
For a full analysis of this week's move in mortgage rates, go to http://www.bankrate.com/mortgagerates
The survey is complemented by Bankrate's weekly forward-looking Rate Trend Index, in which a panel of mortgage experts predicts which way the rates are headed over the next 30 to 45 days. The good news is that only 19 percent of panelists foresee see an increase in rates. However, there is not a clear consensus as to the path of mortgage rates with 37 percent forecasting further declines and 44 percent expecting mortgage rates to remain more or less unchanged over the next 30 to 45 days.
For the full mortgage Rate Trend Index, go to http://www.bankrate.com/RTI
About Bankrate, Inc.
The Bankrate network of companies includes Bankrate.com, Interest.com, Mortgage-calc.com, Nationwide Card Services, Savingforcollege.com, Fee Disclosure, InsureMe, CreditCardGuide.com and Bankaholic.com. Each of these businesses helps consumers make informed decisions about their personal finance matters. The company's flagship brand, Bankrate.com is a destination site of personal finance channels, including banking, investing, taxes, debt management and college finance. Bankrate.com is the leading aggregator of rates and other information on more than 300 financial products, including mortgages, credit cards, new and used auto loans, money market accounts and CDs, checking and ATM fees, home equity loans and online banking fees. Bankrate.com reviews more than 4,800 financial institutions in 575 markets in 50 states. In 2008, Bankrate.com had nearly 72 million unique visitors. Bankrate.com provides financial applications and information to a network of more than 75 partners, including Yahoo! (Nasdaq: YHOO), America Online (NYSE: TWX), The Wall Street Journal and The New York Times (NYSE: NYT). Bankrate.com's information is also distributed through more than 500 newspapers.
NOTE TO EDITORS: The information contained in this release is available for print or broadcast with attribution to Bankrate.com
For more information contact: Kayleen Keneally Senior Director, Corporate Communications email@example.com 917-368-8677
SOURCE Bankrate, Inc.