Mortgage rates trending higher (still very low)

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Freddie Mac’s PMMS report was released this morning showing that mortgage rates are trending higher from the 3 year lows.

2016 June 2 Freddie Mac PMMS

The Prime Mortgage Market Survey is based on an average of last week’s conforming rates and reports that the 30 year fixed rate averaged 3.66 with 0.5 points for the week ending June 2, 2016.

From Freddie Mac’s Chief Economist, Stan Becketti:

“… Recent statements by the Fed appear to have persuaded the market that a rate hike may come sooner than later. However, the market is fickle, and Friday’s employment report has the potential to swing opinion 180 degrees in the other direction.”

Although the trend is higher, mortgage interest rates are still ridiculously low.

As I write this post, 9:00 am on June 2, 2016, for a 30 year fixed conventional mortgage, I’m quoting:

3.625% (apr 3.758%) priced with 0.909 points.

Rate quoted is based on a sales price of $500,000 with a 20% down payment. 3o year fixed  conventional mortgage with a loan amount of $400,000 in the greater Seattle area. Home buyers have credit scores of 740 or higher. Purchase closing July 8, 2016 or sooner.

Rates quoted are subject to credit approval and may (will) change at anytime. For your personal rate quote for your home located anywhere in Washington state, click here.

Tomorrow morning, the Jobs Report will be released. The Jobs Report tends to impact the direction of mortgage rates as it an indicator of the economy and inflation. Stay tuned!

 

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