30-Year Mortgage Rate Increases to 2.97% in the Week Ending February 25, 2021

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending February 25th, 2021. The PMMS reports that 30-year fixed-rate mortgage averaged 2.97% with an average 0.6 point, up from last week when it averaged 2.81%. A year ago, at this time, the 30-year FRM averaged 3.45%. The 15-year fixed-mortgage averaged 2.34% with an average 0.6 point, up from last week when it averaged 2.21%. A year ago, at this time, the 15-year FRM averaged 2.95%. In prepared remarks, Freddie Mac’s Chief Economist Sam Khater said, “Optimism continues as the economy slowly regains its footing, thus affecting mortgage rates. Though rates continue to rise, they remain near historic lows. However, when combined with demand-fueled rising home prices and low inventory, these rising rates limit how competitive a potential homebuyer can be and how much house they are able to purchase.”