FHFA: Mortgage Rates Increased in January

Nationally, interest rates on conventional purchase-money mortgages increased from December to January, according to several indices of new mortgage contracts.

The National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders Index was 4.22 percent for loans closed in late January, up 22 basis points from 4.00 percent in December.

The average interest rate on all mortgage loans was 4.17 percent, up 26 basis points from 3.91 in December.

The average interest rate on conventional, 30-year, fixed-rate mortgages of $424,100 or less was 4.37 percent, up 29 basis points from 4.08 in December.

The effective interest rate on all mortgage loans was 4.30 percent in January, up 31 basis points from 3.99 in December. The effective interest rate accounts for the addition of initial fees and charges over the life of the mortgage.

The average loan amount for all loans was $305,400 in January, down $13,700 from $319,100 in December.

FHFA Indices Show Little Movement in Interest Rates

FHFA Indices Show Little Movement in Interest Rates

From the Federal Housing Finance Agency:

Nationally, interest rates on conventional purchase-money mortgages were nearly flat from May to June, according to several indices of new mortgage contracts.

The National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders Index was 3.69 percent for loans closed in late June, down 1 basis point from 3.70 percent in May.

The average interest rate on all mortgage loans was 3.70 percent, unchanged from May.

The average interest rate on conventional, 30-year, fixed-rate mortgages of $417,000 or less was 3.88 percent, down 1 basis point from 3.89 in May.

The effective interest rate on all mortgage loans was 3.83 percent in June, unchanged from May. The effective interest rate accounts for the addition of initial fees and charges over the life of the mortgage.

The average loan amount for all loans was $333,900 in June, up $4,400 from $329,500 in May.

Federal Housing Finance Agency will release July index values Tuesday, August 30, 2016.

For more information, call David Roderer at (202) 649-3206. To hear recorded index information, call (202) 649-3993. To find the complete contract rate series, go to www.fhfa.gov/Default.aspx?Page=251.

Technical note: The indices are based on a small monthly survey of mortgage lenders, which may not be representative. The sample is not a statistical sample but is rather a convenience sample. Survey respondents were asked to report terms and conditions of all conventional, single-family, fully amortized purchase-money loans closed during the last five working days of the month. Unless otherwise specified, the indices include 15-year mortgages and adjustable-rate mortgages. The indices do not include mortgages guaranteed or insured by either the Federal Housing Administration or the U.S. Department of Veterans Affairs. The indices also exclude refinancing loans and balloon loans. June 2016 values are based on 6,487 reported loans from 16 lenders, which include savings associations, mortgage companies, commercial banks, and mutual savings banks.
FHFA Index Shows Mortgage Interest Rates Increase in October

FHFA Index Shows Mortgage Interest Rates Increase in October

Nationally, interest rates on conventional purchase-money mortgages increased from September to October, according to several indices of new mortgage contracts.

The National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders index was 4.11 percent for loans closed in late October, up 5 basis points from 4.06 percent in September.

The average interest rate on all mortgage loans was 4.11 percent, up 4 basis points from 4.07 in September.

The average interest rate on conventional, 30-year, fixed-rate mortgages of $417,000 or less was 4.31 percent, a decrease of 2 basis points from 4.33 in September.

The effective interest rate on all mortgage loans was 4.27 percent in October, up 5 basis points from 4.22 percent in September. The effective interest rate accounts for the addition of initial fees and charges over the life of the mortgage.

The average loan amount for all loans was $285,000 in October, up $4,000 from $281,000 in September.

FHFA Index Shows Mortgage Interest Rates Continue to Rise in August

National data show interest rates on mortgages continued their upward trend. Contract mortgage interest rates increased 0.25 percent from July to August, according to an index of new mortgage contracts.

According to the Federal Housing Finance Agency (FHFA), the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders index was 4.26 percent for loans closed in late August. The index is calculated using FHFA’s Monthly Interest Rate Survey. The contract rate on the composite of all mortgage loans was 4.25 percent, up 25 basis points from 4.00 in July.

Interest rates are typically locked in 30-45 days before a loan is closed. Consequently, August data reflect market rates from mid-to-late July. The effective interest rate was 4.40 percent, up 28 basis points from 4.12 percent in July. The effective interest rate accounts for the addition of initial fees and charges over the life of the mortgage.

FHFA’s interest rate survey shows the average interest rate on conventional, 30-year, fixed-rate mortgages of $417,000 or less was 4.49 in August, an increase of 22 basis points. The average loan amount for all loans was $274,500 in August down $3,700 from $278,200 in July.

FHFA will release September index values October 29, 2013.

FHFA Reports Lower Mortgage Interest Rates

The Federal Housing Finance Agency (FHFA) today reported that the National Average Contract Mortgage Rate for the Purchase of Previously Occupied Homes by Combined Lenders, used as an index in some adjustable-rate mortgage (ARM) contracts, was 3.44 percent based on loans closed in October. There was a decrease of 0.12 from the previous month. In March of 2012, FHFA began calculating interest rates using un-weighted survey data. The complete contract rate series can be found at http://www.fhfa.gov/Default.aspx?Page=251.

The average interest rate on conventional, 30-year, fixed-rate mortgage loans of $417,000 or less decreased 14 basis points to 3.62 in September. These rates are calculated from the FHFA’s Monthly Interest Rate Survey of purchase-money mortgages (see technical note). These results reflect loans closed during the October 25 – 31 period. Typically, the interest rate is determined 30 to 45 days before the loan is closed. Thus, the reported rates depict market conditions prevailing in mid- to late-September.

The contract rate on the composite of all mortgage loans (fixed- and adjustable-rate) was 3.44 percent in October, down 11 basis points from 3.55 percent in September. The effective interest rate, which reflects the amortization of initial fees and charges, was 3.57 percent in October, down 10 basis points from 3.67 percent in September. This report contains no data on adjustable-rate mortgages due to insufficient sample size.

Initial fees and charges were 1.05 percent of the loan balance in October, up 10 basis points from September. Twenty-one percent of the purchase-money mortgage loans originated in September were “no-point” mortgages, down one percent from the share in September. The average term was 27.5 years in October, up 0.1 years from September. The average loan-to-price ratio in October was 75.8 percent, up 0.2 percent from 75.6 percent in September. The average loan amount was $257,400 in October, up $2800 from $254,600 in September.