Freddie Mac: Mortgage rates show little fluctuation

For the week ending June 30, interest rates for mortgages showed little movement for the second straight period, according to recent data released by Freddie Mac.

The rate for 30-year fixed mortgages settled at 4.51 percent, which is slightly up from 4.50 percent last week and 4.58 percent from last year. Fifteen-year FRMs held steady, however, staying at 3.69 percent for the second week in a row. From last year, though, the rate is down from 4.04 percent.

"Interest rates on 30-year fixed mortgages hovered around 4.5 percent for the fourth consecutive week following mixed reports on the strength of the economy," Frank Nothaft, Freddie Mac's chief economist and vice president, relayed. "First quarter economic growth was revised up in the final estimate, but growth in consumer spending stagnated in May while April's figure was revised downward; consumer expenditures account for roughly two-thirds of the nation's gross domestic product."

Five-year adjustable-rate mortgages experienced a decline, as rates settled at 3.22 percent, down from 3.25 percent last week and 3.79 percent last year. One-year ARMs were also down, averaging 2.97 percent, which was below last week's rate of 2.99 percent and last year's 3.80 percent.

For areas with improving job sectors, such as Houston, real estate transactions could increase as these interest rates remain low.

Courtesy of 2M Realty News