Interest rates dropped significantly after several weeks of moderating, according to the Primary Mortgage Market Report from Freddie Mac.

[caption id="attachment_8439" align="alignleft" width="272"] Khater: Rates have remained flat or fallen for five straight weeks.[/caption]

“The 30-year fixed fell to 4.63 percent this week, the lowest it has been since mid-September,” said Sam Khater, Freddie Mac’s chief economist. “Mortgage rates have either fallen or remained flat for five consecutive weeks and purchase applicants are responding with an uptick in demand given these lower rates. While the housing market softened in response to higher rates through most of this year, the combination of a low unemployment and recent downdraft in rates should support home sales heading into the early winter months.”

In addition, the survey generated loan data as flows:

• 30-year fixed-rate mortgage averaged 4.63 percent with an average 0.5 point for the week ending Dec. 13, 2018, down from last week when it averaged 4.75 percent. A year-ago, the 30-year fixed-rate mortgage averaged 3.93 percent.
• 15-year FRM this week averaged 4.07 percent with an average 0.5 point, down from last week when it averaged 4.21 percent. A year-ago, the 15-year fixed-rate mortgage averaged 3.36 percent.
• 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 4.04 percent with an average 0.3 point, down from last week when it averaged 4.07. A year-ago, the 5-year adjustable-rate mortgage averaged 3.36 percent.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage.