Longer Term Mortgage Rates Fall After Earnings Disappointment : Freddie Mac

Interest rates for fixed mortgages fell in the week ending July 23, but short-term adjustable-rate mortgages saw modest increases, according to Freddie Mac's primary mortgage market survey.

The 30-year fixed-rate mortgage saw its average interest rate drop by five basis points from the week before and it was nine points lower than the year before. Fifteen-year fixed-rate mortgages averaged 3.21%, down four basis points from the week before and five basis points from the year before.

The five-year Treasury-indexed hybrid adjustable-rate mortgages averaged 2.97%, actually up a basis point from the prior week but two basis points lower than the same time last year.

One-year Treasury-indexed adjustable-rate mortgages averaged 2.54%, up four basis points from the week before and 15 points from the year before.

"U.S. Treasury yields dropped following announcements that many blue chip companies' earnings failed to meet expectations," said Freddie Mac chief economist Sean Becketti in a release. "This drove the 30-year fixed rate mortgage down five basis points to 4.04 percent this week. Housing continues to be the bright spot in the economic recovery."