Mortgage Interest Rates Hit New Lows

The Dow Jones dropped 420 points today. Investors are pulling their money out of the stock market and into U.S. Treasury bonds. As a result, interest rates are plunging. There’s not much demand for capital to invest as America’s economy teeters on the precipice of another recession.

The WSJ says: Mortgage rates in the U.S. continued their decline over the past week, hitting new lows amid concerns about the economic outlook in the U.S. and fallout from Europe’s sovereign-debt problems, according to Freddie Mac’s weekly survey of mortgage rates.

Refinancings averaged about 70% of all mortgage activity in the first half of the year, as homeowners took advantage of low rates, according to Freddie Mac.

The 30-year fixed-rate mortgage averaged 4.15% for the week ended Thursday, down from 4.32% the previous week and last year’s rate of 4.42%. Rates on 15-year fixed-rate mortgages averaged 3.36%, down from last week’s 3.5%, and last year’s 3.9%.

About Luke Ford

Raised a Seventh-Day Adventist at Avondale College in Australia, Luke Ford moved to California in 1977. He graduated from Placer High School in 1984, reported the news at KAHI/KHYL radio for three years, attended Sierra College and UCLA, was largely bedridden by Chronic Fatigue Syndrome for six years, and converted to Judaism in 1993. From 1997-2007, Luke made his living from blogging. Living by Beverly Hills (Alexander90210.com), he now teaches the Alexander Technique (moving the way the body likes to move). Lessons cost $100 each and last about 45 minutes. In 2011, Luke completed a three-year teaching course at the Alexander Training Institute of Los Angeles. His personal Alexander Technique website is Alexander90210.com. Luke is the author of five books, including: » The Producers: Profiles in Frustration » Yesterday’s News Tomorrow: Inside American Jewish Journalism
This entry was posted in mortgage, Rates and tagged , , , , , . Bookmark the permalink.