Great News for Buyers: Mortgage Rates at Lowest Level Since 2015

by Rodney Forbes on April 8, 2016

Rodney Forbes with Forbes Realty of South Florida in West Palm Beach has some great news for homebuyers. Read below courtesy of Associated Press:

Average long-term U.S. mortgage rates slid this week to their lowest level since February 2015, luring prospective purchasers during the spring home-buying season.

Mortgage buyer Freddie Mac said Thursday the average rate on a 30-year, fixed-rate mortgage fell to 3.59 percent from 3.71 percent last week. The benchmark rate was far below the 3.66 percent level it marked a year ago.

The average rate on 15-year fixed-rate mortgages declined to 2.88 percent from 2.98 percent last week.

No one knows how long these low rates will last, so if you’ve been on the fence about purchasing this may be the perfect time. Home prices in Palm Beach County has started to level off, adding more good news for people considering buying a home.

A recent speech by Federal Reserve Chair Janet Yellen reaffirmed the Fed’s plans to move slowly in raising the interest rates it controls. That prospect has tamped down mortgage rates.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country at the beginning of each week. The average doesn’t include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.

The average fee for a 30-year mortgage was unchanged from last week at 0.5 point. The fee for a 15-year loan also held steady, at 0.4 point.

Rates on adjustable five-year mortgages averaged 2.82 percent this week, down from 2.90 percent last week. The fee remained at 0.5 point.

Potential homebuyers should contact Forbes Realty of South Florida at 561-337-4810 or email to info@forbesrealtyonline.com

Rodney Forbes is the managing broker for Forbes Realty of South Florida in Palm Beach County.

 

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