Housing Market

Mortgage rates rise amid mixed housing data, increase in home prices

Freddie MacRecent data released by Freddie Mac showed a slight increase in mortgage rates amid mixed housing data on pending home sales and an increase in national home prices.

For the week ending Nov. 27, the 30-year fixed-rate mortgage increased to 4.29 percent from 4.22 percent the week prior. The 15-year FRM averaged 3.3 percent, up from 3.27 percent the previous week.

The five-year adjustable-rate mortgage fell slightly to 2.94 percent from 2.95 percent the previous week, and the one-year ARM fell slightly to 2.6 percent, compared to 2.61 percent the week prior.

“Fixed mortgage rates retraced some of their decline of the prior week as housing data portrayed mixed signals,” Freddie Mac Vice President and Chief Economist Frank Nothaft said. “The National Association of Realtors reported that their pending sales metric dipped for the fifth consecutive month and was slightly below year-ago levels, presaging a softening in sales near yearend. Nonetheless, house prices rose as homes-for-sale inventory remained tight in many markets… Prices in the 20 largest cities increased 13.3 percent annually in September, the highest year-over-year increase since February 2006, and a bit stronger than the Federal Housing Finance Agency’s U.S.-wide Purchase-Only index, which appreciated 8.5 percent over the same period.”

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