Mortgage Rates Drop To All-Time Low

November 19, 2009

in News

Mortgage Rates Drop To All-Time Low

Mortgage rates dropped to a historic low, but hardly anyone is getting a home loan. The benchmark 30-year fixed-rate mortgage fell 13 basis points, to 5.06 percent, according to the Bankrate.com national survey of large lenders. A basis point is one-hundredth of 1 percentage point. That’s the lowest rate on the 30-year fixed in the 24-year history of Bankrate’s weekly mortgage index. Previously, the all-time low had been 5.13 percent, on April 1 this year. (In case you’re wondering, the highest was 12.31 percent – in the first-ever survey, conducted Sept. 25, 1985.) The mortgages in this week’s survey had an average total of 0.4 discount and origination points. One year ago, the mortgage index was 6.33 percent; four weeks ago, it was 5.34 percent. The benchmark 15-year fixed-rate mortgage fell 13 basis points, to 4.48 percent. That, too, is a record low. [Read this article]

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