For the third week in a row the 30-year fixed rate mortgage remained under 3 per cent. This week's Freddie Mac Primary Mortgage Market Survey found that the 30-year fixed rate mortgage averaged 2.96 per cent.
That's good news for homebuyers. Freddie Mac Chief Economist Sam Khater said that consumer income and spending are picking up. He said the acceleration in economic growth combined with low and stable interest rates is good for home buyers. He added it's also good for homeowners who may have missed earlier opportunities to refinance and increase their monthly cash flow.
Homebuyers still face stiff competition for purchasing as housing inventories remain tight. Housing prices also continue to increase in many areas of the country. Low mortgage rates help homebuyers maintain their purchasing power in this highly competitive housing market environment.
•30-year fixed-rate mortgage averaged 2.96 percent with an average 0.6 point for the week ending May 6, 2021, down from last week when it averaged 2.98 percent. A year ago at this time, the 30-year FRM averaged 3.26 percent.
•15-year fixed-rate mortgage averaged 2.30 percent with an average 0.6 point, down from last week when it averaged 2.31 percent. A year ago at this time, the 15-year FRM averaged 2.73 percent.
•5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 2.70 percent with an average 0.3 point, up from last week when it averaged 2.64 percent. A year ago at this time, the 5-year ARM averaged 3.14 percent.