30-Year Conforming Rate Hits Six-Month Lowby Tim Manni
At the close of business yesterday, the 30-year Conforming rate fell even further, landing at 4.99% for Tuesday’s daily average. Last week’s average rang in at 5.03% — the lowest level we’ve seen in 2010.
“We’ve seen these numbers before. They might be enough to get in a few folks who’ve been disappointed before,” says Keith Gumbinger of HSH.com, which does its own surveys and found that rates ended at 4.99% on Tuesday, the lowest level in six months. “If we can hang in this level another week and get the word out there, it does suggest that some additional refi activity could come out of the marketplace.”
What Was the Lowest Rate We’ve Seen in Some Time?
According to HSH.com, both the lowest weekly and daily average for the 30-year Conforming rate was documented during December 2009. The lowest weekly average was 4.92% for the week ending December 4, 2009, while the lowest daily average was 4.83% on December 1, 2009.
Demand (After the Tax Credit) Still Isn’t There
While the weekly averages for last week and this week are shaping up to be almost as low as those seen in December, homebuying activity still isn’t getting the boost it needs:
Need more evidence that the housing market is straining to get back to normal? Mortgage rates fell last week to their lowest level in months, and yet applications for new home loans fell to their lowest level in 13 years, according to the Mortgage Bankers Association.
Readers: Anyone out there in the market to buy a home? Let us know how it’s going! Share your experience by leaving us a comment below.