Buyers Wait for Better Rates

Interest rates for home loans ticked up the week of March 7, 2019 after four weeks of declines. The 30-year fixed rate for mortgages averaged 4.41 percent, per Freddie Mac data.

Over the previous week, the rate increased six basis points and was the second instance of growth in 2019 to date. The 15-year adjustable-rate mortgage also grew by six basis points to 3.83 percent, while the 5-year Treasury-indexed hybrid adjustable-rate mortgage grew three basis points to 3.87 percent, Realtor.com reports. The Mortgage Bankers Association noted this week that mortgage application volume was down, as buyers wait on better rates.

Fixed-rate mortgages track the yield of the 10-year U.S. Treasury note, although they move with a bit of a lag. Freddie’s weekly survey cuts off a few days before it is released, which means it may have captured some of the upward movement in yields following strong economic data out earlier in the week.

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