Mortgage rates have fallen to their lowest point of 2017, but they remain up from a year ago.
Freddie Mac reported Thursday that the 30-year fixed mortgage rate dropped to a year-to-date low for the third consecutive week. The average 30-year rate for a home loan now stands at 3.78 percent, down from 3.82 percent the week before â€” but up from 3.44 percent at this time last year.The 15-year fixed rate averaged 3.08 percent, down from 3.12 percent one week earlier â€” and up from 2.76 percent a year ago.
There was a slight uptick for the five-year adjustable-rate mortgage (ARM). It averaged 3.15 percent this week, a hair above last weekâ€™s 3.14 percent. A year ago, the 5-year ARM averaged 2.81 percent.
The general drop-off in mortgage rates follows a decline in the Treaury yield, noted Freddie Mac chief economist Sean Becketti.
â€œThe 10-year Treasury yield fell nine basis points this week, reaching a new 2017-low for a second consecutive week,â€� he said. â€œThe 30-year mortgage rate followed, dropping four basis points to a year-to-date low of 3.78 percent.â€�
Even a slight fall in the rates is bound to help potential buyers in the Bay Area where housing prices are out of sight â€” and have been consistently on the rise for more than five years.
In July, the median price of a single-family house in the nine-county region was $804,000, up 10.1 percent year-over-year, according to the CoreLogic real estate information service.
In Santa Clara County, the median was $1,097,000, up 11.0 percent year-over-year. San Mateo Countyâ€™s median sale price was $1,310,000, up 4.8 percent from July 2016, while Alameda Countyâ€™s median was $825,000, up 11.2 percent, and Contra Costa Countyâ€™s median was $585,000, up 8.3 percent.
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