A respite from rising interest rates turned out to be short-lived as mortgage rates edged up again in Bankrate’s latest weekly survey of national mortgage lenders.
The benchmark 30-year, fixed rate rose to 4.71 percent, up 1 basis point from the previous week, according to Bankrate’s weekly survey of large mortgage lenders for the week ending June 27. A year ago, the rate was 4.07 percent.
Meanwhile, mortgage applications fell 4.9 percent for the week after rallying the previous week. Refinance applications reversed course from a week earlier, falling 4 percent, the Mortgage Bankers Association reported. Purchase applications decreased 6 percent.
Pending-home sales fall
As mortgages get more expensive and home prices continue to rise, homebuyers are getting more skittish, according to new data from the National Association of Realtors.
Pending-home sales retreated 0.5 percent to 105.9 in May from 106.4 in April, according to NAR’s Pending Home Sales Index.
The index measures home purchase contract signings as an indication of future home sales activity. This was the fifth month in a row pending sales fell on an annual basis.
“Realtors in most of the country continue to describe their markets as highly competitive and fast-moving,” said Lawrence Yun, NAR’s chief economist, “but without enough new and existing inventory for sale, activity has essentially stalled.”
A lukewarm spring sales season wasn’t for lack of demand, Yun said. Data in May showed that home price gains were outpacing earnings, inventory continued to dwindle, and listings stayed on the market just over three weeks.
With six months left in the year, NAR revised its forecast for existing-home sales in 2018 to dip 0.4 percent to 5.49 million from 5.51 million in 2017. The national median existing-home price is predicted to jump by 5 percent by year’s end.
Rates this week
The benchmark 30-year, fixed-rate mortgage rose this week to 4.71 percent from 4.70 percent, according to Bankrate’s weekly survey of large lenders.
A year ago, it was 4.07 percent. Four weeks ago, the rate was 4.64 percent. The 30-year, fixed-rate average for this week is 0.09 percentage points below the 52-week high of 4.80 percent and is 0.76 percentage points greater than the 52-week low of 3.95 percent.
The 30-year, fixed mortgages in this week’s survey had an average total of 0.31 discount and origination points.
Over the past 52 weeks, the 30-year fixed has averaged 4.31 percent. This week’s rate is 0.40 percentage points higher than the 52-week average.
■ The 15-year, fixed-rate mortgage fell to 4.13 percent from 4.15 percent.
■ The 5/1 adjustable-rate mortgage was flat at 4.12 percent.
■ The 30-year, fixed-rate jumbo mortgage fell to 4.62 percent from 4.63 percent.
At the current 30-year, fixed rate, you will pay $519.24 each month for every $100,000 you borrow, up from $518.64 last week.
At the current 15-year, fixed rate, you will pay $746.22 each month for every $100,000 you borrow, down from $747.23 last week.
At the current 5/1 ARM rate, you will pay $484.36 each month for every $100,000 you borrow, unchanged from last week.
Results of Bankrate.com’s weekly national survey of large lenders conducted and the effect on monthly payments for a $165,000 loan: