Long-term mortgage rates decline in week

WASHINGTON, Feb. 17 (UPI) -- Average interest rates for 30- and 15-year mortgages dropped in the week ending Feb. 17, the U.S. Federal Home Loan Mortgage Corp. said Thursday.

The average interest rate for 30-year, fixed-rate mortgages fell from 5.05 percent to 5 percent with 0.7 points. Average interest rates for 15-year contracts fell from 4.29 percent to 4.27 percent with 0.7 points, Freddie Mac said.

Rates for 15-year, fixed-rate mortgages a year ago stood at 4.33 percent. Rates for 30-year mortgages a year ago averaged 4.93 percent.

Frank Nothaft, Freddie Mac's vice president and chief economist, said the housing market was struggling despite "very affordable" market conditions.

Strikingly, "In both 1981 and 1982, the rates were over three times as high as they are today," he said.