US long-term mortgage rates ease, 30-year loan at 3.72%

US long-term mortgage rates declined slightly this week, remaining close to the historically low levels where they have hovered for the past two months.

Mortgage buyer Freddie Mac said Thursday the average rate for a 30-year fixed-rate mortgage eased to 3.72 per cent from 3.74 per cent last week. By contrast, the benchmark rate stood at 4.51 per cent a year ago.

The average rate on a 15-year mortgage slipped to 3.16 per cent from 3.19 per cent.

More positive economic data and improved housing market sentiment have brought stability in mortgage rates, Freddie Mac chief economist Sam Khater said. For all of 2019, the 30-year loan averaged 3.9 per cent, the fourth-lowest annual rate since Freddie Mac began tracking it in 1971, according to the company.

Volatile interest rates earlier last year caused a slowdown in the housing market, Khater noted. Low mortgage rates and a strong job market are “setting the stage for a continued rise in home sales and home prices,” he said.

– AP