Mortgage Rates Resume Upward Climb in the Week Ending June 9, 2022

Freddie Mac has released its Primary Mortgage Market Survey (PMMS) for the week ending June 9, 2022. The PMMS reports that the 30-year fixed-rate mortgage (FRM) averaged 5.23% with an average 0.9 point, up from last week when it averaged 5.09%. A year ago, at this time, the 30-year FRM averaged 2.96%.

The 15-year fixed-rate mortgage averaged 4.38% with an average 0.8 point, up from last week when it averaged 4.32%. A year ago, at this time, the 15-year FRM averaged 2.23%.

The 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 4.12% with an average 0.3 point, up from last week when it averaged 4.04%. A year ago, at this time, the 5-year ARM averaged 2.55%.

In remarks prepared for the release of this week’s PMMS report, Freddie Mac’s Chief Economist Sam Khater said:

“After little movement the last few weeks, mortgage rates rose again on the back of increased economic activity and incoming inflation data. The housing market is incredibly rate-sensitive, so as mortgage rates increase suddenly, demand again is pulling back.

The material decline in purchase activity, combined with the rising supply of homes for sale, will cause a deceleration in price growth to more normal levels, providing some relief for buyers still interested in purchasing a home.”