As we wrote two weeks ago:
Absent any big negative economic news, the Fed’s talk of tapering its bond purchase program will likely cause mortgage rates to tick back up despite the Fed’s concerns and intentions.
The average rate for a conforming 30-year mortgage has since ticked up from 4.22 to 4.46 percent and to within 12 basis points of the 4.58 percent two-year high recorded this past August, 1.15 percentage points higher than the all-time low of 3.31 percent recorded in November of 2012.
The average 30-year fixed mortgage rate was 3.34 percent at this time last year having averaged 6.71 percent since 1990 and 8.61 percent over the past 40 years.
In terms of the 30-year rate for Jumbo loans over $625,500, Wells Fargo is currently advertising a rate of 4.125 percent, a discount of half a percent as compared to the 4.625 percent rate they’re advertising for both regular conforming and super conforming loans over $417,000 in high cost areas like San Francisco.
∙ Fixed Mortgage Rates Jump [Freddie Mac]