June 6th Interest Rate Update

June 6, 2010

Interest Rates Rates were stable at very low levels in the past week. Freddie Mac announced that for the week ending June 3, 30-year fixed rates averaged 4.79%, up slightly from 4.78% the previous week. The average for 15-year fixed fell slightly to 4.20%. "The economy grew at a slower rate than originally reported in the first three months of the year, according to the Bureau of Economic Analysis, which suggests inflation will remain tame in the near term," said Frank Nothaft, Freddie Mac vice president and chief economist. "As a result, rates held at historic levels this week. In fact, rates on 15-year fixed-rate loans set another record low for the third week in a row. There are also signs that credit conditions may be improving. The number of homeowners with private mortgage insurance who became current on their loans outnumbered those who defaulted for the third month in a row in April, according to data compiled by the Mortgage Insurance Companies of America." Forecast for the Week