U.S. mortgage rates drop in week

WASHINGTON, April 15 (UPI) -- Average interest rates for 30-year, fixed-rate mortgages dropped in the week ending April 15, the U.S. Federal Home Loan Mortgage Corp. said Thursday.

The 30-year, fixed-rate mortgage averaged 5.07 percent with an average 0.6 points during the week, down from last week's average of 5.21 percent, Freddie Mac said.

A year ago, rates for 30-year, fixed-interest loans averaged 4.82 percent.

At 4.4 percent with an average 0.7 points, the 15-year, fixed-rate average also fell. A week ago, 15-year, fixed rate mortgages averaged 4.52 percent. A year ago, 15-year, fixed-rate mortgages averaged 4.48 percent.

Frank Nothaft, Freddie Mac vice president and chief economist, said interest rates "still remain historically low," even after reaching an eight-month high a week ago.

"Low mortgage rates continue to help stabilize the housing market," he said, adding the Federal Reserve in Wednesday's Beige Book report had said residential housing activity had increased in most of the country between the last week of February and the first week of April. In addition, the Fed noted, "credit standards remain generally unchanged," in the same six-week period, Nothaft said.