WASHINGTON- 30-year fixed mortgage rates drop to 4.93% for the second straight week, showed by a report on Thursday, but still are above than the lower record of last years. 
This week, the average rate on a 30-year mortgage was recorded 4.93% that was 4.97% a week earlier, stated by Freddie Mac mortgage finance company.
In the beginning of December, a drop in the rates recorded to low of 4.71%, drooped in the response of government’s campaign to shrink the borrowing costs of consumer.
Mortgage rates were collected by Freddie Mac from Monday to Wednesday every week from the lenders of the whole country. Fluctuations occur on rates even on the same given day and often in line with Treasury bonds (long-term).
Due to the acquiring mortgage securities for $1.25tn Federal Reserve program, mortgage rates recorded low, exact or near. This program is designed to be closed in March, though Fed has held a way open in order to extend it only if economy becomes weak at any time.
A fear lies in the heart of some analysts and according to them, mortgage rates could rise again when the program ends, this will not only unfavorable for housing recovery but also for overall economy.
The average rate on 15 year mortgages rates dropped to 4.33% this week, which is down from the last week’s 4.34%, stated by Freddie Mac.
A week earlier, average rates on five year adjustable mortgages dropped to 4.12 from 4.19%. Likewise, average rates on 1 year adjustable mortgages dropped to 4.23%, which is down from 4.33%.
Moreover, these rates doesn’t contain points (add-on charges), and one point = 1% of the total amount of loan.
According to Freddie Mac survey, the nationwide charges for loans averaged0.7 point for the 30 year mortgages, 0.6 point for 15 year and one year mortgage, and 0.5 point for five year mortgages.
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