January 24th, 2020 9:04 AM by Jackie A. Graves
benchmark 30-year fixed-rate mortgage tumbled 7 basis points this week to 3.77
percent, according to Bankrate’s weekly national survey of large lenders.
in rates comes ahead of next week’s first Federal Open Market Committee (FOMC)
meeting of the year, where the Fed is expected to leave rates unchanged.
Experts are eyeing the bond markets for signs of mortgage-rate movement, but
rates have been in a narrow range for several months. This is good news for
homebuyers and refinancers, alike.
with more positive developments surrounding the U.S. and China trade
negotiations and healthy retail sales data, investors seemed cautious and
maintained their demand for safer U.S. Treasuries, which kept yields lower,”
says Joel Kan, associate vice president of economic and industry forecasting
for the Mortgage Bankers Association (MBA), in a statement. “Our expectation is
that rates will stay along this same narrow range.”
Applications slip on the back of a strong start to 2020
The first couple of weeks of 2020 showed positive signs for
homebuying as purchase applications surged. But now, in the third week of
January, applications slipped 1.2 percent from last week, according to data
from the MBA’s Weekly Mortgage Applications Survey for the week ending January
The Refinance Index fell 2 percent from a week ago, but was
still 116 percent higher than the same week last year.
“Mortgage applications dipped slightly last week after two weeks
of healthy increases, but even with a slight decline, the total pace of
applications remains at an elevated level,” Kan says. “The purchase market has
started 2020 on a strong note, running 8 percent higher than the same week a
Mortgage rates this week
The benchmark 30-year fixed-rate mortgage tumbled 7 basis points
this week to 3.77 percent. A year ago, it was 4.62 percent. Four weeks ago, the
rate was 3.90 percent. The 30-year fixed-rate average for this week is 0.85
percentage points below the 52-week high of 4.62 percent and is 0.03 percentage
points above the 52-week low of 3.74 percent.
The 30-year fixed mortgages in this week’s survey had an average
total of 0.32 discount and origination points.
Over the past 52 weeks, the 30-year fixed has averaged 4.07
percent. This week’s rate is 0.30 percentage points lower than the 52-week
The 5/1 adjustable-rate mortgage
fell to 3.56 percent from 3.60 percent.
The 30-year fixed-rate jumbo
mortgage fell to 3.77 percent from 3.82 percent.
At the current 30-year fixed rate, you’ll pay $464.25 each month
for every $100,000 you borrow, down from $468.24 last week.
At the current 15-year fixed rate, you’ll pay $695.88 each month
for every $100,000 you borrow, down from $698.30 last week.
At the current 5/1 ARM rate, you’ll pay $452.40 each month for
every $100,000 you borrow, down from $454.65 last week.
Results of Bankrate.com’s weekly national survey of large
lenders conducted January 22, 2020 and the effect on monthly payments for a
national mortgage survey
This week’s rate:
from last week:
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