Mortgage Rates Down Slightly, Freddie Mac Says

By Matt Grossman

Mortgage rates declined slightly in the latest week, according to government-backed housing-finance agency Freddie Mac, bringing them off the recent highs reached following a steady climb in recent months.

In the week ending Thursday, the average rate on a 30-year fixed-rate mortgage decreased to 3.89% from 3.92% last week. A year ago this week, the average rate was 2.97%.

Average 15-year rates were 3.14%, down from 3.15% a week ago, but up from 2.34% a year ago.

The average rate on a five-year Treasury-indexed hybrid adjustable-rate mortgage, or ARM, was 2.98%, the same as last week. A year ago, the 5-year ARM averaged 2.99%

Despite the decline this week, rates are still significantly higher over the last six months, Freddie Mac chief economist Sam Khater said.

"As we enter the spring homebuying season with higher mortgage rates and continued low inventory, we expect home price growth to remain firm before cooling off later this year," Mr. Khater said.

Write to Matt Grossman at [e-mail]

(END) Dow Jones Newswires

February 24, 2022 10:14 ET (15:14 GMT)

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