WASHINGTON (MNI) – The following is the text of the latest Freddie
Mac Primary Mortgage Market Survey released Thursday:

MORTGAGE RATES HIT ALL-TIME RECORD LOWS FOR SECOND CONSECUTIVE WEEK

Freddie Mac (OTC: FMCC) today released the results of its Primary
Mortgage Market Survey (PMMS ), showing average fixed mortgage rates
falling to new all-time record lows for the second consecutive week on
mortgage securities purchases by the Federal Reserve and indicators of a
weakening economy. The Federal Reserve’s purchase of long-term fixed
mortgage securities allowed the 15-year fixed-rate mortgage at 2.69
percent to fall below the 5-year ARM’s rate at 2.72 percent. The last
time the average 15-year fixed was lower than the 5-year ARM was the
week ending October 15, 2009.

News Facts

– 30-year fixed-rate mortgage (FRM) averaged 3.36 percent with an
average 0.6 point for the week ending October 4, 2012, down from last
week when it averaged 3.40 percent. Last year at this time, the 30-year
FRM averaged 3.94 percent.

– 15-year FRM this week averaged 2.69 percent with an average 0.5
point, down from last week when it averaged 2.73 percent. A year ago at
this time, the 15-year FRM averaged 3.26 percent.

– 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM)
averaged 2.72 percent this week with an average 0.6 point, up from last
week when it averaged 2.71 percent. A year ago, the 5-year ARM averaged
2.96 percent.

– 1-year Treasury-indexed ARM averaged 2.57 percent this week with
an average 0.4 point, down from last week when it averaged 2.60 percent.
last week. At this time last year, the 1-year ARM averaged 2.95 percent.

Average commitment rates should be reported along with average fees
and points to reflect the total upfront cost of obtaining the mortgage.
Visit the following links for Regional and National Mortgage Rate
Details and Definitions. Borrowers may still pay closing costs which are
not included in the survey.

Quotes

Attributed to Frank Nothaft, vice president and chief economist,
Freddie Mac.

“Fixed mortgage rates fell again this week to all-time record lows
due to the mortgage securities purchases by the Federal Reserve and
indicators of a weakening economy. The final estimate of growth in Gross
Domestic Product was revised down to 1.3 percent in the second quarter,
representing the slowest growth in a year. In addition, personal incomes
rose only 0.1 percent in August, while July’s increase was revised
downward. And finally, pending home sales in August fell 2.6 percent,
well below the market consensus forecast of a slight increase.”

** MNI Washington Bureau: 202-371-2121 **

[TOPICS: M$U$$$,M$$AG$,MAUDS$]