Mortgage rates took a dip in the wake of a disappointing July jobs report, according to Bankrate.com’s weekly national survey.
The 30-year fixed mortgage rate dropped slightly to 4.56%, from 4.59% last week, while the 15-year fixed rate dropped from last week’s 3.65% to 3.62%.
A less-than-stellar July unemployment report, which showed only 162,000 jobs added – lower than the 175,000 to 185,000 predicted by economists – cast doubt on when the Fed would begin tapering bond purchases. Other reports, meanwhile, show consumer confidence in the housing market on the rise.
“With encouraging and disappointing economic news offsetting each other on almost a daily basis, look for mortgage rates to remain range bound at least until there is greater clarity regarding both the economy and Fed policy,” Bankrate.com stated in an Aug. 8 news release.
Even with the slight dip, mortgage rates are nowhere near 2013 lows. “As recently as May 1st, the average 30-year fixed mortgage rate was 3.52 percent,” Bankrate stated.“At that time, a $200,000 loan would have carried a monthly payment of $900.32. With the average rate currently at 4.56 percent, the monthly payment for the same size loan would be $1,020.51, a difference of $120 per month for anyone that waited too long.”