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Mortgage Rates Radar: Mortgage rates pop higher this week

By   |  Posted in Mortgage Rates Radar

Rates on the most popular types of mortgages moved upward, according to HSH.com's Weekly Mortgage Rates Radar. The average rate for conforming 30-year fixed mortgage rates rose by seven basis points (0.07 percent) to 3.68 percent. Conforming 5/1 Hybrid ARM rates increased by three basis points, closing the Wednesday-to-Tuesday wraparound weekly survey at an average of 2.62 percent.

"After reaching lows for the year just four weeks ago, and despite plenty of mixed economic signals, 30-year fixed mortgage rates have quickly moved back to near this year’s highs," said Keith Gumbinger, vice president of HSH.com. "Rising stock markets, with their promise of better returns, continue to draw investor money out of safe-haven investments such as bonds. Yields are increasing as a result, pulling mortgage rates along with them."

Gumbinger adds "Even with upward and downward moves this year, mortgage rates remain near record lows, and that can be expected to continue until we get reliably solid growth, inflation begins to appear or the Fed begins tapering its support. None of those conditions seems imminent."

Average mortgage rates and points for conforming residential mortgages for the week ending May 21, according to HSH.com:

HSH.com Mortgage Rates Radar - Four Week Trend

Conforming 30-year fixed-rate mortgage

  • Average rate:   3.68 percent
  • Average points: 0.27

Conforming 5/1-year adjustable-rate mortgage

  • Average rate:   2.62 percent
  • Average points: 0.20

Average mortgage rates and points for conforming residential mortgages for the previous week ending May 14 were, according to HSH.com:

Conforming 30-year fixed-rate mortgage

  • Average Rate:   3.61 percent
  • Average Points: 0.26

Conforming 5/1-year adjustable-rate mortgage

  • Average Rate:   2.59 percent
  • Average Points: 0.19

Methodology

The Weekly Mortgage Rates Radar reports the average rates and points offered on conforming 30-year fixed-rate mortgages and conforming 5/1 ARMs. The weekly mortgage rate survey covers a large sample of mortgage lenders and is conducted over a Wednesday-to-Tuesday cycle, with data released every Wednesday. HSH.com’s survey helps consumers find the best rates on home loans in changing market conditions. Unlike mortgage rate surveys that report average rates only, the Weekly Mortgage Rates Radar’s inclusion of both average rates and average points provides a more accurate view of mortgage terms currently offered by lenders.

Every week, HSH.com conducts a survey of mortgage rate data for a wide range of consumer mortgage products including ARMs, FHA-backed and jumbo mortgages, as well as home equity loans and lines of credit from hundreds of direct lenders in the U.S. For information on additional loan products, visit HSH.com.

About HSH.com

HSH.com is a trusted source of mortgage data, trends, news and analysis. Since 1979, HSH’s market research and commentary has helped homeowners, buyers and sellers make smart financial choices and save money on mortgage and home equity products. HSH.com, of Riverdale, N.J., is owned and operated by QuinStreet, Inc. (NASDAQ: QNST), one of the largest Internet marketing and media companies in the world. QuinStreet is committed to providing consumers and businesses with the information they need to research, find and select the products, services and brands that best meet their needs. The company is a leader in ethical marketing practices. For more information, please visit QuinStreet.com.

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