Mortgage rates nearly stable for week

WASHINGTON, April 17 (UPI) -- Interest rates for 30-year fixed-rate mortgages were unchanged in the United States for the second week running, Freddie Mac reported Thursday.

The average 30-year fixed interest rate remained at 5.88 percent with an average of 0.4 points for the week ending April 17, Freddie Mac said.

A year ago, 30-year fixed rate mortgages averaged 6.17 percent.

At 5.40 with an average of 0.4 points, the 15-year fixed rate mortgages declined slightly from 5.42 percent the previous week. A year ago, 15-year fixed rates stood at 5.89 percent.

"ARM (adjustable-rate mortgages) rates continued to decline amid market speculation that the Federal Reserve may cut rates again at its upcoming committee meeting," Freddie Mac chief economist Frank Northaft said.

A decline in housing starts in March -- to the lowest rate since March 1991 -- and declining consumer confidence, "suggest nearly a 100 percent probability that the Fed will cut rates at the end of this month," he said.