Freddie Mac: Fixed Rates Bounce Up from Record Lows

Following an ""earlier survey from Zillow"":http://www.themreport.com/articles/thirty-year-loan-crashes-into-new-low-as-europe-scrambles-2012-06-12 showing that the 30-year fixed-rate mortgage (FRM) had again hit a new low, ""Freddie Mac"":http://www.freddiemac.com/ released on Thursday the results of its ""Primary Market Mortgage Survey"":http://www.freddiemac.com/pmms/ (PMMS), which showed a small increase in fixed mortgage rates after a month and a half of record lows.

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The PMMS found that the 30-year fixed for the week ending June 14 averaged 3.71 percent (0.7 point), an increase from 3.67 percent the previous week. This increase ended a six-week streak of falling rates. At the same time last year, the 30-year fixed rate averaged 4.50 percent.

The 15-year FRM also slid up, averaging 2.98 percent (0.7 point). The average was 2.94 percent the previous week. At the same time in 2011, the 15-year FRM averaged 3.67 percent.

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""Fixed mortgage rates edged up slightly from record lows during a mild week of economic data releases. The Federal Reserve Board reported that household net worth rose by $2 trillion to $62.9 trillion over the first three months of 2012, primarily due to increases in stock markets. However, this is still well below the peak of $67.5 trillion set in the third quarter of 2007. Nonetheless, homeowners saw an aggregate $372 billion rise in property values over the first three months of this year,"" said Frank Nothaft, VP and chief economist at Freddie Mac.

The 5-year ARM averaged 2.80 percent (0.6 point), down from 2.84 percent the previous week and 3.27 percent last year.

The 1-year ARM also fell, averaging 2.78 percent (0.5 point), a decrease from the previous week's 2.79 percent. At the same time in 2011, the 1-year ARM averaged 2.97 percent.

""Bankrate"":http://www.bankrate.com/ also released its weekly survey, which found that the 30-year FRM fell to its third consecutive record low of 3.91 percent, down from 3.92 percent the previous week. Meanwhile, the 15-year fixed continued to rise to 3.17 percent, up from 3.16 percent the week before.

The 5-year ARM also increased, up to 3.00 percent from 2.99 percent the week before.

""The uncertainty surrounding the European debt crisis will continue to keep a lid on mortgage rates and be a primary catalyst for further rate volatility in the weeks ahead,"" said Bankrate in its report.

Bankrate's survey uses data provided by the top 10 banks and thrifts in the nation's top 10 markets each week.