Up, then down. North, then south. Higher, then lower.

These opposites can be applicable to many things in life.

The temperature in Michigan.

My daily blood pressure.

More relatable, however, is that these terms perfectly describe what’s been going on with the nationwide average for mortgage rates according to Freddie Mac’s weekly Primary Mortgage Market Survey.

One week they jump up from near record lows, and the next week they fall back down and flirt with the record line.

This week goes with the latter, as mortgage rates took drops all across the board.

30-year fixed-rate mortgages fell from 3.41% with 0.7 points last week to 3.39% with 0.7 points this week. The record low is 3.36% set back on October 4, so they’re tiptoeing that line again. Last year at this time, the average for a 30-year fixed-rate mortgage was a flat 4.00%.

15-year fixed-rate mortgages dropped to 2.70% with 0.7 points this week from last week’s 2.72% with 0.6 points. Although it’s not a significant drop, it’s still close to the record set on October 18 of 2.66%. 12 months ago, 15-year fixed-rate mortgages averaged 3.31%.

ARMs also fell this week, with 5/1-Year ARMs dropping to 2.74% with 0.6 points from last week’s 2.75% with 0.6 points, and 1-year ARMs falling to 2.58% with 0.4 points this week from last week’s 2.59% with 0.4 points.

Last year at this time, 5/1-year ARMs and 1-year ARMs averaged 2.96% and 2.88%, respectively.

Ok, let’s take a break from digesting all of these numbers and take a gander at some Halloween jokes.

Why wasn’t any food left after the Halloween party? Because everyone was a’goblin!

Why don’t witches get mad while flying? Because they don’t want to fly off the handle.

I’d tell you the mummy joke, but it sphinx.

Back to business, here.

Frank Nothaft, chief economist, vice president, and neighborhood dude from Freddie Mac, chimed in with his two cents as always.

This week, he explained, “Mortgage rates remained relatively unchanged this week on signs of a growing economy and low inflation. The economy grew 2.0 percent in the third quarter with residential fixed investment contributing 0.3 percentage points to growth. The core price index of personal consumer expenditures grew 1.7 percent between September 2011 and 2012 and was within the Federal Reserve’s preferred target range.”

So, I refer back to my opening statement: Up, then down. Given the directionless nature of rates, I would highly recommend you refinance or lock in your low mortgage rate today before rates jump again!


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