Mortgage Rates Fall to Lowest Level Since Spring

By:
Peter King | November 12, 2009

Mortgage interest rates fell last week to their lowest levels since the astonishingly low levels of last spring, according to two major rate surveys released today.

The Mortgage Bankers Association reported that average rates for 30-year fixed mortgages fell to 4.90 percent for the week ending Friday, Nov. 6, down from 4.97 percent the week before. It’s the lowest rate the MBA week has reported since May 15, when rates were a near-record 4.69 percent, a handful of points above the all-time low of 4.61 percent set a few weeks earlier.
 
Meanwhile, the Bankrate weekly survey conducted Nov. 10 reported an average of 5.19 percent on 30-year loans, its lowest average since April 15. Rates in the Bankrate weekly survey typically run significantly higher than the MBA survey due to different survey methods and other factors. For example, the MBA survey results are based on an average of 1.03 discount points; the Bankrate survey is based on only 0.32 discount points; paying a full point typically reduces a borrower’s interest rate by about 1/8th of a percent.
 
The drop in rates appeared to generate new interest among borrowers seeking to refinance their mortgages, as applications to refinance rose 11.3 percent in the MBA survey. Applications for mortgages to purchase homes fell, however, continuing a pattern of recent weeks. Purchase applications were down 11.7 percent for the week and were at their lowest level since December 2000.
 
Average rates on 15-year fixed mortgages remained unchanged at 4.33 percent in the MBA survey and fell 11 basis points in the Bankrate survey to 4.61 percent.

More Mortgage Rates Articles

Call For Rates

800-419-1494

Speak to a lender now.

We will match calls to our toll free number with our network of lenders.

National Rates

Loan Type Today +/-
30 yr fixed 3.80
15 yr fixed 3.10
5/1 ARM 2.73

Rates may contain points

Compare Rates »

Browse Mortgage Rates

Mortgage Rates Calculators