Mortgage interest rates dropped this week after four weeks of rate increases. This is according to a survey conducted by one national mortgage lender.
Traditional 30 year, fixed rate mortgages fell to 6.26% this week; this is down from 6.28 the week before. Fixed rate 15 year mortgages average 5.89% this week, down from 5.91% last week.
A one year Adjustable Rate Mortgage (ARM) averages 5.32% this week; down from 5.36% last week. At this time last year traditional 30 year mortgages averaged 5.69%. The 15 year fixed interest rate was 5.22% this time last year, and one year Adjustable Rate Mortgages averaged 4.16%.
Analysts expect interest rates to continue to rise throughout 2006. As a result of this they are predicting a cooling in the US housing market.