Rates Drop Again

Borrowing costs for long-term home loans dipped in the latest week, reports Freddie Mac. According to the firm, average interest on 30-year fixed mortgages slid to 4.95 percent for the week ended Feb. 24 from 5.0 percent the prior week and 5.05 percent a year ago. Meanwhile, the 15-year fixed rate settled at 4.22 percent compared to 4.27 percent the previous week and 4.40 percent in the year-earlier period. Five-year, adjustable-rate mortgages averaged 3.8 percent interest, down from 3.87 percent the week before and 4.16 percent during the same period of 2010; but one-year ARMs bumped up to 3.40 percent from 3.39 percent, although still significantly below the year-ago average of 4.15 percent.

[SOURCES: Freddie Mac; Information, Inc.]