Home loan rates remain the same for third straight week

Homebuyer affordability remained at the highest level it's ever been during the middle of February, as Freddie Mac reports both short- and long-term mortgage rates stayed at their all-time lows.

Homebuyer affordability remained at the highest level it's ever been during the middle of February, as Freddie Mac reports both short- and long-term mortgage rates stayed at their all-time lows.

The average rate for a 30-year fixed-rate home loan during the week ending February 16 was 3.87 percent, according to mortgage records from Freddie.

Meanwhile 15-year FRMs averaged 3.16 percent during the week. The short-term rate was the same as the week before, while the 30-year FRM rate has been the same for the past three weeks.

Additionally, the GSE's Primary Mortgage Market Survey found the average rates for adjustable-rate mortgages went in different directions. The report shows 5-year ARM rates averaged 2.82 percent - a modest weekly drop - while the average 1-year ARM rate rose from 2.78 to 2.84 percent week-to-week.

It remains unseen as to whether these historic low rates will spur the market and increase sales. One report of dwindling consumer confidence may signal a slow start to 2012 for sales.

The latest Reuters/University of Michigan consumer sentiment index reveals a decline in confidence in the overall economy during February, which could translate to stagnant housing market conditions.



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