Mortgage Rates Start to Settle Down

Mixed economic reports hold mortgage rates flat: Freddie Mac economist

The 30 year fixed rate mortgage averaged 5.42% for the week of June 18, slightly up for last week at 5.38%, but down from a year ago at 6.45%. The 15 year fixed rate mortgage is down also from last year from 6.04% to 4.87%. The adjustable rate mortgage averaged 5.99% last year and was at 4.93% last week.

To get these rates most companies require payment of an average 0.7 point. A point is 1% of the mortgage amount, charged as prepaid interest.

Economic reports have helped hold mortgage rates steady this past week. Existing home sales rose for the second consecutive month in May, according to the National Association of Realtors. Unsold home inventory lessened when compared to a year ago which is also a positive sign.  The number of existing homes for sale was 15.3% below that a year ago. Distressed properties accounted for only 1/3 of existing home sales in May.