Mortgage Rates Fall This Week
According to Bankrate’s latest survey of large lenders, mortgage rates fell this week despite the Federal Reserve’s decision in December to raise the short-term rate for the first time since 2006. The benchmark 30-year fixed-rate mortgage fell to 3.8% from 3.85% the week before. A year ago, it was 3.9% and a month ago the rate was 3.94%. The mortgages in this week’s survey had an average total of 0.2 discount and origination points. Mortgage rates fell this week, following disappointing economic data and stock market declines.
Bankrate’s survey also noted that the benchmark 15-year fixed-rate mortgage fell to 3.09% from 3.12% while the benchmark 5/1 adjustable-rate mortgage fell to 3.24% from 3.28%. Meanwhile, the National Association of Realtors reported this week that sales of existing homes increased 0.4% from December to January and that the median price for existing homes for all housing types — single-family homes, townhomes, condos and co-ops — was $213,800, 8.2% higher than the January 2015 median price.
However, not all news was good. New home sales plunged nearly 10% from December to January and were down 5.2% from January 2015, according to data released Wednesday from the U.S. Census Bureau and the Department of Housing and Urban Development. January does tend to be a slower month for new homes sales but it did still come as a surprise to many analysts.
With mortgage rates still at or below 4%, if you are considering buying or selling, it’s still a great time to enter the real estate market. Contact us today if you are in the Austin, Hill Country, San Antonio, Houston, or Brazoria County markets. We’d be happy to help you with any of your real estate needs!