Mortgage Rates Fall This Week; 30-Year Fixed At 4.82% -Freddie

   DOW JONES NEWSWIRES 
 

Mortgage rates fell this week, as the average rate on 30-year fixed-rate mortgages came in further below 5%, according to Freddie Mac's (FRE) weekly survey of mortgage rates released Thursday.

Mortgage rates have fallen in recent months as providers try to entice buyers amid the housing market downturn. But many consumers are wary of making the commitment to purchase a home - and many prospective buyers face challenges getting financing amid the tight credit market.

The 30-year fixed-rate mortgage averaged 4.82% for the week ended Thursday, down from last week's 4.86% average and 5.98% a year ago. Rates on 15-year fixed-rate mortgages were 4.5%, down from 4.52% and 5.55%, respectively.

Freddie Mac Vice President and Chief Economist Frank Nothaft noted long-term fixed-rate mortgages have been below 5% for the last 10 weeks.

Five-year Treasury-indexed hybrid adjustable-rate mortgages averaged 4.79%, down from 4.82% last week and well below their 5.61% average a year ago. One-year Treasury-indexed ARMs were 4.82%, up from 4.71% last week but down from 5.24% a year earlier.

To obtain the rates, the fixed-rate mortgages required payment of an average 0.7 point and the adjustable-rate mortgages required an average 0.6 point. A point is 1% of the mortgage amount, charged as prepaid interest.

-By Kerry E. Grace, Dow Jones Newswires; 201-938-5089; [e-mail]