Mortgage Rates Fall

30-year mortgage falls to 6.48%


The benchmark 30-year fixed rate mortgage average fell in the week ending Thursday, to 6.48% from 6.52%, according to Freddie Mac. The mortgage agency said its weekly survey showed the 15-year loan decreased to 6.18% from 6.2%. The 1-year Treasury-indexed adjustable rate fell to 5.6% from 5.65%, while the 5-year hybrid ARM also decreased, to 6.14% from 6.18%.

"The Fed has acknowledged that it is closely monitoring the housing market as it slows down from last year's record pace," said Frank Nothaft, Freddie Mac chief economist, in a statement.

"Although this fuels arguments about whether we will experience a soft landing or a bursting housing bubble, market watchers also perceive that it possible that the Fed may stop raising short-term interest rates over the near term. This perception takes upward pressure off mortgage rates."

As Posted on www.MarketWatch.com