The 30-year fixed-rate average sank to 4.23 percent with an average 0.7 point. It was 4.32 percent a week ago and 3.53 percent a year ago. The 30-year fixed rate has remained below 4.5 percent for the past month.
The 15-year fixed-rate average dropped to 3.33 percent with an average 0.7 point. It was 3.4 percent a week ago and 2.77 percent a year ago. The 15-year fixed rate hasn’t been above 3.5 percent since early January.
Hybrid adjustable rate mortgages also were down. The five-year ARM average dipped to 3.08 percent with an average 0.5 point. It was 3.12 percent a week ago and 2.63 percent a year ago.
The one-year ARM average fell to 2.51 percent with an average 0.5 point. It was 2.55 percent a week ago.
“Mortgage rates fell further this week following the release of weaker housing data,” Frank E. Nothaft, Freddie Mac vice president and chief economist, said in a statement.
“The pending home sales index fell 8.7 percent in December to its lowest level since October 2011. Fixed residential investment negatively contributed to GDP in the fourth quarter for the first time since the third quarter of 2010. Also, the Institute for Supply Management reported a significant slowing in growth in the manufacturing industry in December than the market consensus forecast.”
Meanwhile, mortgage applications were flat last week, according to the latest data from the Mortgage Bankers Association.
The Market Composite Index, a measure of total loan application volume, rose 0.4 percent. The Refinance index bumped up 3 percent, while the Purchase Index dropped 4 percent.
The refinance share of mortgage activity was unchanged, accounting for 62 percent of all applications.