Buying and selling real estate in the communities of Long Island
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Mortgage rates rise slightly
A small bounce in mortgage rates has broken the six-week streak of record-setting lows, Freddie Mac reported Thursday -- but they’re still really low.
The average rate for the 30-year fixed home loan ticked up to 3.71 percent with an average 0.7 point after dipping to 3.67 percent a week ago. A year ago, the average was 4.5 percent.
Frank Nothaft, vice president and chief economist for Freddie Mac, points to “a mild week of economic data releases,” including a Federal Reserve report that U.S. household net worth and property values both saw improvements in the first three months of this year.
“The Federal Reserve Board reported that household net worth rose by $2 trillion to $62.9 trillion over the first three months of 2012 primarily due to increases in stock markets,” he said. “However, this is still well below the peak of $67.5 trillion set in the third quarter of 2007. Nonetheless, homeowners saw an aggregate $372 billion rise in property values over the first three months of this year."
Long Island has yet to see similar improvements. The closed median sale price was down 2 percent in Nassau and 1.4 percent in Suffolk in the 12 months ending in April, according to the Multiple Listing Service of Long Island.
The average rate for a 15-year fixed-rate mortgage rose to 2.98 percent with an average 0.7 point, up from last week’s 2.94 percent. A year ago, it was 3.67 percent.