Interest rates found another new low for 2011. The 30-year fixed rate eased from 4.61% to 4.60% for the week ending May 26th, 2011, according to Freddie Mac. A year ago the 30-year fixed mortgage averaged 4.84%. The 15-year fixed dropped from 3.80% to 3.78%. A year ago the 15-year fixed stood at 4.21%.
Softer rates are are result of slowing economic activity. While the rates are good for home buyers and lending, it hasn’t been enough to stimulate any major activity in the real estate market.
Here’s my latest chart:
As you can see the trend at the beginning of the year was up. I still believe this is the larger trend. A sluggish economy is to thank for recent pause in interest rates; just be advised that rates seem to rise much faster than they fall.
If you enjoyed this post, make sure you subscribe to my RSS feed!
No related posts.
Related posts brought to you by Yet Another Related Posts Plugin.