The new year has started off with a new record, as Freddie Mac's mortgage records reports the average rates for short- and long-term mortgage rates hit new all-time lows during the second reported period of 2012.
According to the Primary Mortgage Market Survey for the week ending January 12, 15-year fixed-rate home loan rates averaged 3.16 percent - a marked drop from 3.23 percent the week before. Meanwhile, the average for 30-year FRMs also dipped, falling from 3.91 to 3.89 percent during the week.
Average rates for adjustable-rate mortgages also declined. The report indicates averages for 1- and 5-year ARMs decreased to 2.76 and 2.82 percent, respectively.
"Mortgage rates eased slightly this week to all-time record lows following mixed indicators in the labor market," said Frank Nothaft, vice president and chief economist for Freddie Mac.
Low rates should entice many prospective homebuyers to apply for home loans this year. However, a recent Federal Reserve report regarding the real estate market projects mortgage requests will reach a 15-year low in 2012.