Placed in Market Update
The latest surveys show slight variations (upward and downward) in mortgage rates for the week ending April 20. The overall average rate for 30-year fixed-rate mortgages was 4.19% (a .01% increase from the previous week). The 15-year fixed-rate inched up to an average 3.44% (.02% increase). FHA-backed 30-year mortgages decreased slightly to 3.81% (.01% drop) and 5/1 Hybrid ARMs remained at the previous week’s average of 2.99%.
Various governmental and industry forecasts again indicate a soft (slowly recovering) economy. Also, sales of existing homes decreased by 2.6 percent last month (compared to February stats). Meanwhile, the Bloomberg Consumer Comfort Index reached four-year highs to a reading of minus 31.4 (as of 4/15).
Two events occurring next week will add some additional insights to our economic perspective. First, the initial report for the First Quarter/2012 Gross Domestic Product will be announced. In addition, the Fed will hold its regular meeting to discuss policy, with its statement available on Wednesday. Stay tuned.