Mortgage Rates Largely Up; 30-Year Fixed At 4.91% -Freddie

   DOW JONES NEWSWIRES 
 

Mortgage rates were mostly higher again this week as long-dated Treasury yields continued to increase, according to Freddie Mac's (FRE) weekly survey of mortgage rates, released Thursday.

Mortgage rates had 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 4.91% for the week ended Thursday, up from last week's 4.82% average and down from 6.08% a year ago. Rates on 15-year fixed-rate mortgages were 4.53%, compared with 4.50% and 5.66%, respectively.

Five-year Treasury-indexed hybrid adjustable-rate mortgages averaged 4.82%, up from 4.79% last week and well below their 5.62% average a year ago. One-year Treasury-indexed ARMs were 4.69%, down from 4.82% and 5.22%, respectively.

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.

Despite the recent uptick in most rates, Freddie chief economist Frank Nothaft said there are reason to be optimistic as consumer confidence as surged from moribund levels the past two months.

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