Mortgage Rates Surpass Seven Percent
Freddie Mac (OTCQB: FMCC) reported that mortgage rates have increased for the fifth consecutive week, with the 30-year fixed-rate mortgage (FRM) reaching 7.04%, surpassing 7% for the first time since May 2024.
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Rhea-AI Summary
Freddie Mac (OTCQB: FMCC) reported that mortgage rates have increased for the fifth consecutive week, with the 30-year fixed-rate mortgage (FRM) reaching 7.04%, surpassing 7% for the first time since May 2024. This represents an increase from last week's 6.93% and is higher than the 6.60% rate recorded a year ago.
The 15-year FRM also saw an increase, averaging 6.27%, up from last week's 6.14% and significantly higher than the 5.76% rate from a year ago. According to Sam Khater, Freddie Mac's Chief Economist, the underlying strength of the economy is contributing to the rate increase. Despite rising rates, Freddie Mac's research indicates that consumers can potentially save money by shopping around for different lender quotes.
Positive
- Strong underlying economic conditions reported by Chief Economist
Negative
- 30-year FRM increased to 7.04%, highest since May 2024
- Fifth consecutive week of mortgage rate increases
- 15-year FRM rose to 6.27%, up from 5.76% year-over-year
Details
News Market Reaction – FMCC
The recorded move for FMCC in the trading session of this news was -14.66%.
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AI-generated analysis. How Rhea-AI works. Not financial advice.
MCLEAN, Va., Jan. 16, 2025 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing the 30-year fixed-rate mortgage (FRM) averaged 7.04 percent.
“Mortgage rates ticked up for the fifth consecutive week and crossed seven percent for the first time since May of 2024,” said Sam Khater, Freddie Mac’s Chief Economist. “The underlying strength of the economy is contributing to this increase in rates. Despite rising rates, Freddie Mac research highlights that consumers can save money if they shop for several different lender quotes.”
News Facts
- The 30-year FRM averaged 7.04 percent as of January 16, 2025, up from last week when it averaged 6.93 percent. A year ago at this time, the 30-year FRM averaged 6.60 percent.
- The 15-year FRM averaged 6.27 percent, up from last week when it averaged 6.14 percent. A year ago at this time, the 15-year FRM averaged 5.76 percent.
The PMMS® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. For more information, view our Frequently Asked Questions.
Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | X | LinkedIn | Facebook | Instagram | YouTube
MEDIA CONTACT:
Angela Waugaman
(703)714-0644
Angela_Waugaman@FreddieMac.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/d5d2bdcc-ae5a-4c9a-a5b4-b40786849100
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