John's Florida Real Estate Blog

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Freddie Mac Reports That Average Mortgage Interest Rates Remain Virtually Unchanged This Week

Today Freddie Mac reported that average mortgage interest rates for 30 and 15 year loans were motionless, or nearly so. Nationally the average mortgage interest rate for 30 year fixed-rate mortgages was 6.73% (6.70% in the southeast), unchanged from 6.73% a week ago. The average interest rate for 15 year fixed-rate mortgages was 6.38%, down only slightly from 6.39% last week.

Recent statistics indicate that the housing market has not arrived at the bottom of its fall. It was reported that June's housing starts were somewhat of a surprise rising to 1,470,000 units for the month. However, single home construction fell 0.2%. New building permits declined 7.5% in June, and that was the lowest they have been since 1997.

I also just saw a report that said the Federal Reserve chairman indicated that we should not expect significant interest rate drops by the Fed in the coming months since inflation remains a major concern. However, in the past we have seen that sometimes mortgage rates do not necessarily mirror what the Federal Reserve tries to accomplish.

Do keep in mind that we live in a very large and complex country. What happens in California is not necessarily what is happening in Florida. And what happens in Florida may be a far cry from what occurs in Michigan. Real estate is still very much a local issue.

If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.

If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be should you decide to finance a home purchase.

John Elwell - REALTOR

CENTURY 21

Bill Nye Realty, Inc.

813-783-4444

Licensed in Florida

 

Comment balloon 0 commentsJohn Elwell • July 19 2007 06:05PM

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