Continued turmoil in the financial markets, stubbornly high unemployment and economic uncertainty keep pushing mortgage interest rates to new depths, according to Freddie Mac.
The government-sponsored enterprise said its primary mortgage market survey showed the average rate for a 30-year, fixed mortgage fell to 4.12% for the week ending Thursday from 4.22% a week earlier. The interest rate for a traditional mortgage is now at the lowest level in five decades.
The average rate for a 15-year, fixed mortgage decreased to 3.33% from 3.39% the prior week, according to the Freddie Mac survey.
Mortgage interest rates are considerably lower than the year ago, when the 30-year averaged 4.35% and the average 15-year, fixed mortgage was 3.83%.
Freddie Mac said the average five-year, Treasury-indexed adjustable-rate mortgage stayed flat with the prior week at 2.96% and is down from 3.56% a year ago.
The average rate for a one-year, ARM fell to a new low at 2.84% from 2.89% a week ago. The rate is down from 3.46% at this time last year.