US 15-Yr Mortgage Rate Hits New Low Of 3.11%: Freddie Mac

U.S. 15-year fixed-rate mortgages dropped to a new record low of 3.11 percent in the week ending April 12, mortgage financier Freddie Mac said Thursday.

The 15-year rate was down from 3.21 percent in the previous week and 4.13 percent in the prior year. The previous 15-year low was 3.13 percent on March 8.

The 30-year rate dropped from to 3.88 percent from 3.98 percent in the previous week and 4.91 percent in the prior year.

Fixed mortgage rates eased for the third consecutive week following long-term Treasury bond yields dropping, said Frank Nothaft, chief economist of Freddie Mac.

The declines came after the Labor Department reported only 120,000 new jobs added in March, far below expectations. But the Federal Reserve said Tuesday that hiring had a steady or modest increase in most regions. Residential housing construction also increased, but much of it was multifamily rentals, according to the Fed.

Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 2.85 percent on April 12, down from 2.86 from the prior week and 3.78 percent in the prior year.

One-year ARMs averaged 2.80 percent, up from 2.78 percent in the previous week and down from 3.25 percent in the past year.