Mortgage Rates Climb Higher in Week Ending January 13, 2022

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Mortgage Rates Increase Significantly

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending January 13, 2022. The PMMS reports that the 30-year fixed-rate mortgage averaged 3.45% with an average 0.7 point, up from last week when it averaged 3.22%. A year ago, at this time, the 30-year FRM averaged 2.79%.

The 15-year fixed-mortgage averaged 2.62% with an average 0.7 point, up from last week when it averaged 2.43%. A year ago, at this time, the 15-year FRM averaged 2.23%.

In remarks prepared for the release of this week’s PMMS report, Freddie Mac’s Chief Economist, Sam Khater said, “Mortgage rates rose across all mortgage loan types, with the 30-year fixed-rate mortgage increasing by almost a quarter of a percent from last week. This was driven by the prospect of a faster than expected tightening of monetary policy in response to continued inflation exacerbated by uncertainty in labor and supply chains. The rise in mortgage rates so far this year has not yet affected purchase demand, but given the fast pace of home price growth, it will likely dampen demand in the near future.”

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