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Which Direction Would the Mortgage Rates Move With The Onset Of New COVID Variant?

 

Even in the midst of market volatility and economic threats and the COVID variant, the US mortgage rates increased this week and remained relatively stable.

According to the latest Primary Mortgage Market Survey of Freddie Mac the first weekend of December, saw the 30-year fixed-rate mortgage average to 3.11%, up to one basis point from the week before.

Same time last year, the home loan rate was 2.71%.

Sam Khater, chief economist at Freddie Mac said during the changes in the economy there is still a consistency of rates because of the evolution of the pandemic, which poses uncertainty.

This low mortgage rate environment is a favorable condition for refinancing he added.

There was a dip of three basis points compared to a week in the average rate of a 15-year fixed-rate mortgage which is at 2.39%, same time last year, the 15-year fixed-rate mortgage was 2.26%.

The five-year Treasury-indexed hybrid adjustable-rate mortgage climbed to 2.49% up by two basis points, in 2020 the five-year ARM averaged 2.86%.

Since September this year, the mortgage rates have been wavering up and down said the home and mortgage specialist at NerdWallet Holden Lewis.

He added that this week was again bumpy because the investors sought the safety of government and mortgage bonds while they waited for more information about the new coronavirus variant.

Reference Source: MPA

https://www.compareclosing.com/mortgagenews/which-direction-would-the-mortgage-rates-move-with-the-onset-of-new-covid-variant/

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