News for Mortgage Rates
Jul 30 · 12:16:00 PM · Source: Bloomberg.com
The average 30-year rate increased to 5.25 percent from 5.2 percent, mortgage buyer Freddie Mac of McLean, Virginia, said today in a statement. The 15-year rate was 4.69 percent.
Federal Reserve Chairman Ben S. Bernanke is trying to lower borrowing costs with a program to purchase mortgage-backed securities. The central bank’s plan brought down yields on government debt and mortgage-backed bonds issued by Fannie Mae, Freddie Mac and Ginnie Mae, allowing lenders to reduce rates on new loans and still sell the securities at a profit. Rates started climbing in May along with Treasury yields on investor concern that higher government debt would fuel inflation.
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