Mortgage applications decreased 0.8% last week from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending Sept. 2, 2022, the MBA announced on Sept. 7. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances increased to 5.94% last week.

The Market Composite Index, a measure of mortgage loan application volume, decreased 0.8% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 2% compared with the previous week. The Refinance Index decreased 1% from the previous week and was 83% lower than the same week one year ago. The seasonally adjusted Purchase Index decreased 1% from one week earlier. The unadjusted Purchase Index decreased 3% compared with the previous week and was 23% lower than the same week one year ago.

“Mortgage rates moved higher over the course of last week as markets continued to re-assess the prospects for the economy and the path of monetary policy, with expectations for short-term rates to move and stay higher for longer,” said Mike Fratantoni, MBA Senior Vice President and Chief Economist.

He continued, “With the 30-year fixed rate rising to the highest level since mid-June, application volumes for both purchase and refinance loans dropped. Recent economic data will likely prevent any significant decline in mortgage rates in the near term, but the strong job market depicted in the August data should support housing demand. There is no sign of a rebound in purchase applications yet, but the robust job market and an increase in housing inventories should lead to an eventual increase in purchase activity.”

The refinance share of mortgage activity increased to 30.7% of total applications from 30.3% the previous week. The adjustable-rate mortgage (ARM) share of activity remained unchanged at 8.5% of total applications.

The FHA share of total applications increased to 13.3% from 13.0% the week prior. The VA share of total applications decreased to 10.8% from 11.1% the week prior. The USDA share of total applications remained unchanged at 0.6% from the week prior.

The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.94% from 5.80%, with points increasing to 0.79 from 0.71 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $647,200) increased to 5.46% from 5.32%, with points decreasing to 0.4 from 0.48 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 5.61% from 5.57%, with points decreasing to 1.06 from 1.09 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 15-year fixed-rate mortgages increased to 5.23% from 5.10%, with points increasing to 0.86 from 0.82 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The average contract interest rate for 5/1 ARMs increased to 4.81% from 4.78%, with points increasing to 0.88 from 0.61 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.

The survey covered more than 75% of all U.S. retail residential mortgage applications and has been conducted weekly since 1990. Respondents included mortgage bankers, commercial banks, and thrifts.

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National home prices grew at an unsustainable pace in March, reaching an all-time high. This indicates that the imbalanced market with strong demand and record-low inventory continued to put upward pressures on home prices. However, keep in mind this is a backward-looking reading.

The S&P CoreLogic Case-Shiller U.S. National Home Price Index, reported by S&P Dow Jones Indices, rose at a seasonally adjusted annual growth rate of 28.2% in March 2022, following a 27.4% increase in February. National home prices are now 60.7% higher than their last peak during the housing boom in March 2006. On a year-over-year basis, the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index posted a 20.6% annual gain in March, after a 20.0% increase in February. The year-over-year home price appreciation slowed a little during the last quarter of 2021, and accelerated in the first three months of 2022, before the spring home-buying season from April to June.

Meanwhile, the Home Price Index, released by the Federal Housing Finance Agency (FHFA), increased at a seasonally adjusted annual rate of 19.0% in March, following a 25.0% increase in February. On a year-over-year basis, the FHFA Home Price NSA Index rose by 19.0% in March, following a 19.4% increase in February.

In addition to tracking national home price changes, S&P CoreLogic reported home price indexes across 20 metro areas in March. All 20 metro areas reported positive home price appreciation and their annual growth rates ranged from 8.8% to 57.1%. Among all 20 metro areas, fifteen metro areas exceeded the national average of 28.2%. Dallas led the way with a 57.1% increase, followed by Tampa with a 49.9% increase and Seattle with a 49.2% increase.

The scatter plot below lists the 20 major U.S. metropolitan areas’ annual growth rates in February and in March 2022. The X-axis presents the annual growth rates in February; the Y-axis presents the annual growth rates in March. Seven out of the 20 metro areas had a deceleration in home price growth, including Los Angeles, San Diego, San Francisco, Chicago, Boston, Portland, and Seattle.

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Home sales in the U.S. ended 2021 on a low note in December, but annual sales activity for the entire year reached its highest level since 2006.

Existing home sales fell 4.6% to a seasonally adjusted 6.18 million million units in December from a month earlier, according to the National Association of Realtors (NAR). November existing home sales were revised slightly down to 6.46 million from 6.48 million. The number of sales was down 7.1% from the same month a year ago. The results were far more disappointing than analysts’ expectations of a 0.5% month-over-month decrease to 6.43 million units, according to Bloomberg consensus estimates.

For the entire year, there were 6.12 million units sold in 2021, the most since 2006 and up 8.5% from the prior year when activity was fueled by pent up demand from COVID-19 lockdowns, according to the NAR. Prior to COVID, there were 5 million to 5.5 million unit sales per year. The December results could have been anticipated since pending home sales slipped in November, which is an indicator of future sales activity.

“December saw sales retreat, but the pullback was more a sign of supply constraints than an indication of a weakened demand for housing,” said Lawrence Yun, NAR’s chief economist, also attributing the slowdown in the final month of 2021 to rising mortgage interest rates, “which can produce mixed results. Some people want to hurry and buy, others want to wait to buy. Rising rates will cut into home sales.”

The 30-year fixed-rate mortgage rose to its highest level at 3.56%, up from the previous week and hitting a new high not seen since March 2020, according to Freddie Mac. 

“Mortgage rates moved up again as the 10-year U.S. Treasury yield rose and financial markets adjusted to anticipated changes in monetary policy that will combat inflation,” said Sam Khater, Freddie Mac’s chief economist, in a press statement. “As a result of higher mortgage rates, purchase demand has modestly waned in advance of the spring homebuying season. However, supply remains near historically tight levels and home prices remain high, keeping the market competitive.

Total housing inventory at the end of December was 910,000 units, down 18.0% from November and down 14.2% from one year ago — the lowest level since 1999, when NAR started tracking inventory for all housing types (NAR started tracking single family home inventory in 1982). Unsold inventory sits at a 1.8-month supply at the present sales pace, down from 2.1 months in November and from 1.9 months in December 2020.

“The fall in existing home sales has nothing to do with demand or interest rates, and everything to do with supply. The previous two months had seen a strong surge in sales, helping to drain inventories and make an already tight market tighter,” said Robert Frick, corporate economist at Navy Federal Credit Union, in a statement. “While mortgage rates are rising, they wouldn’t have affected the December data, and may not have much of an effect on sales as long as they stay well below the historical average. Unfortunately, the tight market continues to push up home prices, with the median price up 15.8% from a year earlier. With every month, fewer first-time homebuyers, especially, can afford a home.”https://flo.uri.sh/visualisation/5640681/embed?auto=1

The median existing-home price for all housing types in December was $358,000, up 15.8% from December 2020 ($309,200), as prices rose in each region. The South witnessed the highest pace of appreciation. The re-acceleration of price increases, from the low teens, in December implies that demand is still strong as supply continues to wane, Yun said. 

Prices were pushed up by the sale of homes in the higher price range. The number of homes sold above $1 million was up 38% from a month ago, while sales of homes from $750,000 to $1 million was up 32%, according to NAR. 

“Although they lagged behind year ago levels, existing home sales hit its 4th straight month at above 6 million in December, closing out 2021 on a relatively high note. Rising concerns about inflation gave home shoppers a big reason to stay in the market in December: The potential opportunity to close on a home before prices and mortgage rates tick up further,” said Realtor.com Chief Economist Danielle Hale in a statement prior to the results.

Hale added: “With housing inventory dwindling and prices rising, finding the right home that’s still in the budget continues to be the hardest part of the real estate journey — and means the supply of for-sale homes remains a key driver of sales activity. This is illustrated by existing home sales trends over the course of 2021, which started strong before dipping in the traditionally busy spring and summer months, when there were few homes available for sale, and then rebounded into the fall as more new sellers meant more options for eager buyers to jump on.” 

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Housing production fell in April due to the increased costs of building materials that have priced out potential home buyers. Overall housing starts decreased 9.5% to a seasonally adjusted annual rate of 1.57 million units, according to a report from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

The April reading of 1.57 million starts is the number of housing units builders would begin if development kept this pace for the next 12 months. Within this overall number, single-family starts decreased 13.4% to a 1.09 million seasonally adjusted annual rate. The multifamily sector, which includes apartment buildings and condos, increased 0.8% to a 482,000 pace.

“Housing starts and permits posted a monthly decline in April, as escalating prices for lumber and other building materials price out some home buyers from an otherwise hot housing market,” said NAHB Chairman Chuck Fowke. “Policymakers need to prioritize the U.S. supply chain for items like building materials to ensure builders can add the additional inventory the housing market desperately needs.”

“The decline in single-family permits indicates that builders are slowing construction activity as costs rise,” said NAHB Chief Economist Robert Dietz. “While housing starts were strong at the beginning of the year, due to home builders constructing homes that were sold pre-construction, higher costs and limited availability of building materials have now paused some projects.”

Overall permits increased 0.3% to a 1.76 million unit annualized rate in April. Single-family permits decreased 3.8% to a 1.15 million unit rate. Multifamily permits increased 8.9% to a 611,000 pace.

Looking at regional permit data compared to the previous month, permits are 8.4% higher in the Northeast, 9.9% lower in the Midwest, 3.9% higher in the South and 4.1% lower in the West.

The number of single-family homes permitted but not started construction continued to increase in April, rising to 131,000 units. This is 47% higher than a year ago, as building material cost increases and delays slow some home building.

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S&P Dow Jones Indices (S&P DJI) today released the latest results for the S&P CoreLogic Case-Shiller Indices, the leading measure of U.S. home prices. Data released today for January 2021 show that home prices continue to increase across the U.S. More than 27 years of history are available for the data series, and can be accessed in full by going to https://www.spglobal.com/spdji/.

Please note that transaction records for December 2020 for Wayne County, MI, are now available. Due to delays at the local recording office caused by the COVID-19 pandemic, S&P DJI and CoreLogic were previously unable to generate a valid December 2020 update for the Detroit S&P CoreLogic Case-Shiller Indices.

YEAR-OVER-YEAR 

The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported an 11.2% annual gain in January, up from 10.4% in the previous month. The 10-City Composite annual increase came in at 10.9%, up from 9.9% in the previous month. The 20-City Composite posted an 11.1% year-over-year gain, up from 10.2% in the previous month.

Phoenix, Seattle, and San Diego continued to report the highest year-over-year gains among the 20 cities in January. Phoenix led the way with a 15.8% year-over-year price increase, followed by Seattle with a 14.3% increase and San Diego with a 14.2% increase. All 20 cities reported higher price increases in the year ending January 2021 versus the year ending December 2020. 

MONTH-OVER-MONTH

Before seasonal adjustment, the U.S. National Index posted a 0.8% month-over-month increase, while the 10-City and 20-City Composites both posted increases of 0.8% and 0.9% respectively in January. After seasonal adjustment, the U.S. National Index posted a month-over-month increase of 1.2%, and the 10-City and 20-City Composites both posted increases of 1.2% as well. In January, 19 of 20 cities reported increases before seasonal adjustment, and all 20 cities reported increases after seasonal adjustment.

ANALYSIS

“The strong price gains that we observed in the last half of 2020 continued into the first month of the new year. In January 2021, the National Composite Index rose by 11.2% compared to its year-ago levels,” says Craig J. Lazzara, Managing Director and Global Head of Index Investment Strategy at S&P DJI. “The trend of accelerating prices that began in June 2020 has now reached its eighth month and is also reflected in the 10- and 20-City Composites (up 10.9% and 11.1%, respectively). The market’s strength is broadly-based: all 20 cities rose, and all 20 cities gained more in the 12 months ended in January 2021 than they had gained in the 12 months ended in December 2020.

“January’s performance is particularly impressive in historical context. The National Composite’s 11.2% gain is the highest recorded since February 2006, just one month shy of 15 years ago. In more than 30 years of S&P CoreLogic Case-Shiller data, January’s year-over-year change is comfortably in the top decile. That strength is reflected across all 20 cities. January’s price gains in every city are above that city’s median level, and rank in the top quartile of all reports in 18 cities.

“January’s data remain consistent with the view that COVID has encouraged potential buyers to move from urban apartments to suburban homes. This demand may represent buyers who accelerated purchases that would have happened anyway over the next several years. Alternatively, there may have been a secular change in preferences, leading to a shift in the demand curve for housing. Future data will be required to analyze this question.

“Phoenix’s 15.8% increase led all cities for the 20^th consecutive month, with Seattle (+14.3%) and San Diego (+14.2%) close behind. Although prices were strongest in the West (+11.7%), gains were impressive in every region.”

SUPPORTING DATA

Table 1 below shows the housing boom/bust peaks and troughs for the three composites along with the current levels and percentage changes from the peaks and troughs.

Table 2 below summarizes the results for January 2021. The S&P CoreLogic Case-Shiller Indices could be revised for the prior 24 months, based on the receipt of additional source data.

Table 3 below shows a summary of the monthly changes using the seasonally adjusted (SA) and non-seasonally adjusted (NSA) data. Since its launch in early 2006, the S&P CoreLogic Case-Shiller Indices have published, and the markets have followed and reported on, the non-seasonally adjusted data set used in the headline indices. For analytical purposes, S&P Dow Jones Indices publishes a seasonally adjusted data set covered in the headline indices, as well as for the 17 of 20 markets with tiered price indices and the five condo markets that are tracked.

For more information about S&P Dow Jones Indices, please visit https://www.spglobal.com/spdji/.

On Thursday (Nov. 19), the U.S. Department of Justice announced the filing and proposed settlement of an antitrust case against the National Association of Realtors that alleged the association established and enforced illegal restraints on the ways Realtors compete.

With the case filing, the Antitrust Division simultaneously filed a proposed settlement that requires NAR to repeal and modify its rules to provide greater transparency to home buyers about the commissions of brokers representing home buyers (buyer brokers), cease misrepresenting that buyer broker services are free, eliminate rules that prohibit filtering multiple listing services (MLS) listings based on the level of buyer broker commissions, and change its rules and policy which limit access to lockboxes to only NAR-affiliated real estate brokers. If approved, the settlement will enhance competition in the real estate market, resulting in more choice and better service for consumers, according to the U.S. Department of Justice.

The National Association of Realtors announced on its website on Thursday that NAR had reached an agreement with the U.S. Department of Justice to develop rules that more explicitly state what is already the spirit and intent of NAR’s Code of Ethics and MLS policies regarding providing information about commissions and MLS participation.

The announcement authored by NAR General Counsel Katie Johnson in the Realtor Magazine section of the association’s website, stated, “Our rules and policies have long been recognized for creating a competitive and efficient market that benefits home buyers and sellers. This agreement resolves the DOJ’s questions about the multiple listing service (MLS) and commissions and enables NAR to remain focused on supporting our members as they preserve, protect, and advance the American dream of homeownership,” NAR

NAR 2021 President Charlie Oppler said in a videotaped statement, “We want to be absolutely clear that while NAR disagrees with the characterization of our rules and policies and NAR admits no liability, wrongdoing or truth of any allegations by the DOJ, NAR has agreed to make certain changes to its rules to address the questions raised by the DOJ.”

NAR’s Johnson, who also serves as the association’s Chief Member Experience Officer, stated that although the exact language of the settlement agreement is still being finalized for NAR’s rule changes, most of the changes seek to more explicitly state what is already the spirit and intent of NAR’s Code of Ethics and MLS policies regarding providing information about commissions and MLS participation.

“Buying a home is one of life’s biggest and most important financial decisions,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “Home buyers and sellers should be aware of all the broker fees they are paying. Today’s settlement prevents traditional brokers from impeding competition—including by internet-based methods of home buying and selling—by providing greater transparency to consumers about broker fees. This will increase price competition among brokers and lead to better quality of services for American home buyers and sellers.”

According to the complaint, NAR’s anticompetitive rules, policies, and practices include: (i) prohibiting MLSs that are affiliated with NAR from disclosing to prospective buyers the commission that the buyer broker will earn; (ii) allowing buyer brokers to misrepresent to buyers that a buyer broker’s services are free; (iii) enabling buyer brokers to filter MLS listings based on the level of buyer broker commissions offered; and (iv) limiting access to the lockboxes that provide licensed brokers with access to homes for sale to brokers who work for a NAR-affiliated MLS. These NAR rules, policies, practices have been widely adopted by NAR-affiliated MLSs resulting in decreased competition among real estate brokers, the DOJ charged.

NAR General Counsel Johnson went on to state on the NAR website that in accordance with the MLS system’s long-standing focus on creating an efficient, transparent marketplace for home buyers and sellers, the amount of compensation offered to buyers’ agents for each MLS listing will be made publicly available. Publicly accessible MLS data feeds will include offers of compensation, and buyers’ agents will have an affirmative obligation to provide such information to their clients for homes of interest.

“Relatedly, the rule changes re-affirm that MLSs and brokerages, as always, must provide consumers all properties that fit their criteria regardless of compensation offered or the name of the listing brokerage,” NAR’s Johnson wrote.

She also noted that there will be a rule enacted that will more definitively stated that buyers’ agents cannot represent their services as free to clients.

Finally, with the seller’s prior approval, a licensed real estate agent will have access to the lockboxes of properties listed on an MLS even if the agent does not subscribe to the MLS, NAR added.

NAR will work with the DOJ to agree on exact rule changes within 45 days; then the Board of Directors will then have to approve the new rules. The court overseeing the settlement must formally approve it.

“In entering this agreement with the DOJ, NAR disagrees with the DOJ’s characterization of our rules and policies, and NAR admits no liability, wrongdoing, or truth of any allegations by the DOJ. The agreement does not subject NAR to any fines or payments,” NAR’s Johnson stated.

She continued, “We’re proud to be associated with the MLS system that puts consumers first and benefits home buyers, sellers, and small-business brokerages—and is constantly building upon these principles. This agreement furthers NAR’s and the MLS system’s goal of creating an efficient marketplace that fosters cooperation between brokers for the benefit of consumers.”

The proposed settlement will be published in the Federal Register as required by the Antitrust Procedures and Penalties Act. Any person may submit written comments regarding the proposed final judgment within 60 days of its publications to Chief, Office of Decree Enforcement and Compliance, Antitrust Division, U.S. Department of Justice, 950 Pennsylvania Ave., N.W., Washington, DC 20530. At the conclusion of the 60-day comment period, the court may enter the proposed final judgment upon a finding that it serves the public interest.

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The CDC issues a nationwide ban on evictions through Dec. 31, but tenants who are behind on rent must advocate for themselves. We explain.

A national eviction moratorium is back in effect, this time with far broader protections than the now-defunct eviction ban established by the CARES Act. While the previous law only covered certain types of properties, the new moratorium effectively protects everyone living in one of the nation’s 43 million rental households, regardless of where they reside.

But the new ban on evictions, which went into effect Sept. 1 and is set to expire Dec. 31, didn’t come from Congress or the Department of Housing and Urban Development. Instead, it was issued by the Centers for Disease Control and Prevention, using authority granted to the federal government in a 1944 public health law. To that end, the stated purpose of the order is to keep people out of homeless shelters or other crowded living conditions that could worsen the spread of COVID-19.

Unlike previous federal measures, the CDC’s real estate leads order requires tenants who fall behind on rent to submit a declaration to their landlord that states they’ve lost income due to the coronavirus pandemic and have made an effort to look for financial assistance, as well as a few other conditions.

We’ll dig into this new eviction moratorium to unpack who is covered, what might not be covered and what you need to do now if you’re worried about getting evicted. Plus we’ll take a look at what other resources and options are available to help you stay in your home. We update this story frequently.

What does the new eviction ban do (and not do)?

The CDC’s new order halts evictions across the US for anyone who has lost income due to the coronavirus pandemic and has fallen behind on rent. It doesn’t prohibit late fees, nor does it let tenants off the hook for back rent they owe. It also doesn’t establish any kind of financial fund to help renters get caught up — a safeguard some have say is critical to preventing a massive wave of evictions when the ban lifts.

The order only halts evictions for not paying rent. Lease violations for other infractions — criminal conduct, becoming a nuisance, etc. — are still enforceable with eviction. And it only protects renters earning less than $99,000 per year ($198,000 for joint filers).

The order requires renters facing eviction to fill out an as-yet unreleased government form attesting to several things: The tenant has lost income due to the pandemic, is currently unable to pay full rent, has made an effort to pay as much as possible, has sought financial help where available and would likely end up homeless or otherwise forced to live in crowded quarters if evicted.

CDC’s order doesn’t change state laws 

Any state-level eviction bans still in effect will remain in place as they are as broad or broader than that established by the CDC. To help you find out the status of eviction protection in your state, legal services site Nolo.com maintains an updated list of state eviction provisions.

Ask your landlord for a reduction or extension

In almost all instances it’s probably best to work out an arrangement with your landlord or leasing agency, if at all possible. Although some landlords have reportedly reacted to the pandemic by putting even more pressure on tenants to pay up, other landlords have risen to the occasion, some going so far as to stop collecting rent payments for a period of time. 

It may be worth approaching your landlord to see if you can pay less rent in the coming months, or spread payments for the next couple of months’ rent out over the next year. Just be wary of landlords who make excessive demands. For example, some have asked tenants to turn over their $1,200 stimulus check or any money received from charity as a condition for not filing an eviction order. Don’t agree to unreasonable conditions or terms you won’t be able to meet, especially if your city or state has enacted protections against such arrangements. 

What you can do if you’re facing financial hardship right now

If you’re in need of immediate shelter or emergency housing, the federal Department of Housing and Urban Development maintains a state-by-state list of housing organizations in your area. Select your state from the drop-down menu for a list of resources near you.

In response to the coronavirus pandemic, many states and cities have expanded their available financial assistance for those who are struggling to pay rent. To see what programs might be available near you, select your state on this interactive map maintained by the National Low Income Housing Association.

Nonprofit 211.org connects those in need of help with essential community services in their area and has a specific portal for pandemic assistance. If you’re having trouble with your food budget or paying your housing bills, you can use 211.org’s online search tool or dial 211 on your phone to talk to someone who can try to help.

JustShelter.org is a nonprofit that puts tenants facing eviction in touch with local organizations that can help them to remain in their homes or, in worst-case scenarios, find emergency housing. 

The online legal services chatbot at DoNotPay.com has a coronavirus financial relief tool that it says will identify which of the laws, ordinances and measures covering rent and evictions apply to you based on your location. 

If you’re seriously delinquent or know you will be soon, you may want to consult a lawyer to better understand how laws in your area apply to your situation. Legal Aid provides attorneys free of charge to qualified clients who need help with civil matters such as evictions. You can locate the nearest Legal Aid office using this search tool. 

Finally, if you can no longer afford rent on your current home, relocation might be an option. Average rental prices have declined across the US since February, according to an August report by Zillow. Apps like Zillow, Trulia and Zumper can help you find something more affordable. Just be aware that you may still be held responsible for any back rent you currently owe as well as any rent that accrues between now and the end of your lease (if you have one), whether or not you vacate.

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Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey^® (PMMS^®), showing that the 30-year fixed-rate mortgage (FRM) averaged 2.98 percent, the lowest rate in the survey’s history dating back to 1971.

“Mortgage rates fell below 3 percent for the first time in 50 years. The drop has led to increased homebuyer demand and, these low rates have been capitalized into asset prices in support of the financial markets,” said Sam Khater, Freddie Mac’s Chief Economist. “However, the countervailing force for the economy has been the rise in new virus cases which has caused the economic recovery to stagnate, and this economic pause puts many temporary layoffs at risk of ossifying into permanent job losses.”

News Facts

• 30-year fixed-rate mortgage averaged 2.98 percent with an average 0.7 point for the week ending July 16, 2020, down from 3.03 percent. A year ago at this time, the 30-year FRM averaged 3.81 percent.  
• 15-year fixed-rate mortgage averaged 2.48 percent with an average 0.7 point, down from last week when it averaged 2.51 percent. A year ago at this time, the 15-year FRM averaged 3.23 percent.  
• 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.06 percent with an average 0.3 point, up slightly from last week when it averaged 3.02 percent. A year ago at this time, the 5-year ARM averaged 3.48 percent.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.