U.S. mortgage rates hit two-month low

New York /
Sep.September 26, 2013 02:40 PM

Interest rates for 30-year mortgage loans in the U.S. fell on the news that the Federal Reserve won’t begin tapering its stimulus program.

A 30-year fixed mortgage rate slipped to 4.32 percent from 4.5 percent — a two-month low — Freddie Mac said in a statement. The average rate for a 15-year mortgage, meanwhile, tumbled to 3.37 percent from 3.54 percent, according to the agency.

Federal Reserve Chairman Ben Bernanke said more evidence is needed before the central bank begins reducing its pace of monthly bond buying, a move aimed at giving homebuyers relief from rising mortgage rates.

“This is kind of a temporary pause,” Ellen Haberle, an economist at Redfin, an online real estate search service and brokerage based in Seattle, told Bloomberg News. “With all of the uncertainties as to when the Fed will taper and who the next Fed chairman will be, mortgage rates will show some volatility the next few months.”

In a rush to take advantage before tapering begins, mortgage applications for home purchases leaped the most in six months in the week ended September 20, according to the Mortgage Bankers Association. [Bloomberg News]Julie Strickland


Related Articles

arrow_forward_ios
From left: 909 Third Avenue, 79 Fifth Avenue, 240 West 37th Street and 27 East 62nd Street (VNO, Cercone Exterior Restoration, Google Maps)
These were the largest Manhattan real estate loans in April
These were the largest Manhattan real estate loans in April
Lenders are being stingy about granting home equity lines of credit. (iStock)
Home values are up, but just try getting a line of credit
Home values are up, but just try getting a line of credit
(Getty)
Mortgage applications resume decline after one-week surge
Mortgage applications resume decline after one-week surge
Hispanics account for more than half of U.S. homeownership growth in the past decade despite making up only 18 percent of the population. (iStock)
Buenas noticias: Hispanic homeownership soars
Buenas noticias: Hispanic homeownership soars
Refinances made up 60 percent of all applications, up slightly from 59.2 percent the previous week. (iStock)
Mortgage rates dip, triggering surge in loan requests
Mortgage rates dip, triggering surge in loan requests
Freddie Mac’s economists said the slowdown will be caused by a hike in mortgage rates and limits on housing supply. (iStock)
Fannie, Freddie say housing market could see slight hiccup
Fannie, Freddie say housing market could see slight hiccup
Mortgage requests, refinancings continue to drop
Mortgage requests, refinancings continue to drop
Mortgage requests, refinancings continue to drop
1440 Broadway and One Park Avenue (Google Maps, Vornado)
These were the largest Manhattan real estate loans in March
These were the largest Manhattan real estate loans in March
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...