While disclosing the results of Primary Mortgage Market Survey, Federal Home Loan Mortgage Corp (OTCBB:FMCC) said that the average fixed mortgage rates remain close to their peak level of the year as the bond yields started to toll upward. As per the report, the average 30-year fixed rate mortgage for the week ended on June 4, 2015 stood at 3.87%, unchanged from that of the previous week. The 30 year fixed rate mortgage was at 4.14% during the same period last year.
Weekly rate update
Meanwhile, the 15-year fixed rate mortgage averaged at around 3.08% for the reported week, down by 0.3% from the previous week’s rate of 3.11%. The fixed rate mortgage during the same period last year stood at 3.23%. The report noted that the 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) showed at an average of 2.96%, higher from the previous week’s level of 2.90%. The Treasury-indexed hybrid adjustable rate mortgage averaged 2.93% during the same period last year. Apart from this, the 1-year Treasury-indexed ARM stood at an average of 2.59%, showing an increase of 0.9% from 2.50% last week.
To impact housing market
Federal Home Loan Mortgage Corp (OTCBB:FMCC)’s deputy chief economist, Len Kiefer said that the mortgage rates showed little change over the last week on the back of mixed economic data. It is noteworthy that the Institute for Supply Management had observed a moderate growth in the manufacturing sector in the month of May even as the real GDP growth has been revised downward to -0.7% annualized rate. The housing company said that if Treasury yields continue to surge then it may hamper the affordability in the housing market.
The stock of Federal Home Loan Mortgage Corp (OTCBB:FMCC) dropped by more than 4% to $2.33 during the last trading session as 2 million shares changed hands.