News / World

Average US 30-year mortgage rate dips to 4.15 per cent

WASHINGTON — Long-term mortgage rates slipped again this week.

Mortgage buyer Freddie Mac says the rate on 30-year, fixed-rate loans eased to 4.15 per cent from 4.17 per cent last week. The benchmark rate stood at 3.65 per cent a year ago and averaged 3.65 per cent through 2016, lowest in records going back to 1971.

The rate on 15-year mortgages dropped to 3.35 per cent this week from 3.39 per cent and 2.95 per cent a year ago.

Both rates fell for the second straight week.

But rates have soared since President Donald Trump was elected Nov. 8. Investors have bid rates higher because they expect Trump's plans to cut taxes and increase spending on infrastructure will boost growth and inflation.

The Federal Reserve raised short-term rates in December and is expected to continue hiking rates this year.

More on Metronews.ca