Mortgage rates fall for seventh week

WASHINGTON, Dec. 18 (UPI) -- Interest rates for 30-year, fixed-rate U.S. mortgages fell for the seventh straight week, the Federal Home Loan Mortgage Corp. said Thursday.

The 30-year, fixed-rate mortgage averaged 5.19 percent with an average 0.7 points in the week ending Dec. 18, Freddie Mac said. It was the lowest rate since Freddie Mac began tracking the figure in 1971.

A week ago, 30-year, fixed-rate mortgages averaged 5.47 percent. A year ago, they averaged 6.14 percent.

At 4.92 percent with an average 0.7 points, the 15-year, fixed-rate average also declined, falling to its lowest point since April 2004.

A week ago, interest on 15-year fixed rate mortgages stood at 5.2 percent. A year ago, the 15-year fixed rate mortgage stood at 5.79 percent.

The falling rate this week "was supported by the Federal Reserve Announcement on Dec. 16, when it cut the federal fund target to a record low and stated it stood ready to expand its purchases of mortgage-related assets as conditions warrant," Freddie Mac's vice president and chief economist Frank Nothaft said.