US mortgage rates continue to fall

US mortgage rates continue to fall

US mortgage rates continue to fall.

Average 30-year and 15-year fixed rates at lowest since November 2010

Average mortgage rates fell week-over-week according to the LendingTree Weekly Mortgage Rate Pulse, which tracks the lowest and average mortgage rates offered by lenders on the LendingTree network.

On June 7, average home loan rates offered by LendingTree network lenders were 4.71% (4.95% APR) for 30-year fixed mortgages, 3.99 % (4.37% APR) for 15-year fixed mortgages and 3.27% (3.47% APR) for 5/1 adjustable rate mortgages (ARM). Rates for all loan types fell week-over-week, with 30 and 15-year fixed mortgage rates reaching their lowest levels in over six months. The last time rates for these loan types were this low was in November 2010.

On the same day, the lowest mortgage rates offered by lenders on the LendingTree network were 4.375 percent (4.51% APR) for a 30-year fixed mortgage, 3.375 percent (3.61% APR) for a 15-year fixed mortgage and 2.75 percent (3.12% APR) for a 5/1 ARM. Rates for 30-year and 5/1 mortgages were flat week-over-week, while 15-year fixed rates fell one-eighth of a point.

“Mortgage rates are continuing their nose dive, now hitting the lowest level we’ve seen in over six months,” said Cameron Findlay, Chief Economist of LendingTree.com. “While low mortgage rates are important for the housing market recovery, the ability of borrowers to qualify and take advantage of these rates is of equal importance. The federal definition of a Qualified Residential Mortgage (QRM) has the potential to severely limit the number of borrowers who can qualify for a mortgage, thus further depressing the housing market and pushing out the recovery timeline by years.”

The following table shows a snapshot of the lowest mortgage rates for a 30-year fixed loan offered by lenders on the LendingTree network, as well as average loan-to-value ratios and negative equity by state.

STATE-BY-STATE MORTGAGE DATA 6/7/11

*Updated Quarterly

STATE LOWEST MORTGAGE RATE LOAN-TO-VALUE RATIO* NEGATIVE EQUITY*
US Average 4.38% (4.51% APR) – 70.2% 35.0%
Alabama 4.25% (4.39% APR) – 67.0% 28.9%
Alaska 4.75% (4.95% APR) – 66.3% 17.3%
Arizona 4.38% (4.51% APR) – 94.6% 39.4%
Arkansas 4.38% (4.49% APR) – 72.6% 43.9%
California 4.25% (4.36% APR) ™ 70.6% 34.8%
Colorado 4.38% (4.55% APR) – 71.9% 22.2%
Connecticut 4.25% (4.36% APR) – 59.5% 43.3%
Delaware 4.25% (4.36% APR) – 67.6% 50.3%
District of Columbia 4.25% (4.48% APR) – 58.3% 25.5%
Florida 4.25% (4.36% APR) – 90.8% 41.1%
Georgia 4.38% (4.50% APR) – 80.9% 25.8%
Hawaii 4.38% (4.50% APR) ™ 54.2% 25.4%
Idaho 4.38% (4.51% APR) – 73.4% 29.8%
Illinois 4.38% (4.51% APR) – 72.4% 31.7%
Indiana 4.25% (4.44% APR) ™ 69.4% 28.5%
Iowa 4.63% (4.82% APR) – 66.7% 42.9%
Kansas 4.63% (4.82% APR) – 70.5% 31.8%
Kentucky 4.25% (4.39% APR) – 67.6% 53.1%
Louisiana 4.63% (4.82% APR) – 78.5% 75.5%
Maine 4.38% (4.49% APR) – 58.6% 30.1%
Maryland 4.25% (4.48% APR) – 70.4% 25.6%
Massachusetts 4.38% (4.49% APR) – 60.7% 46.0%
Michigan 4.38% (4.50% APR) – 84.3% 32.2%
Minnesota 4.25% (4.36% APR) – 65.6% 22.2%
Mississippi 4.63% (4.82% APR) – 78.4% 30.1%
Missouri 4.38% (4.50% APR) ™ 71.6% 31.0%
Montana 4.75% (4.95% APR) – 60.2% 33.4%
Nebraska 4.63% (4.82% APR) – 72.3% 46.5%
Nevada 4.75% (4.95% APR) – 118.0% 55.3%
New Hampshire 4.38% (4.49% APR) – 69.8% 25.2%
New Jersey 4.25% (4.36% APR) – 62.2% 29.0%
New Mexico 4.38% (4.53% APR) – 66.4% 45.8%
New York 4.25% (4.36% APR) – 50.1% 42.1%
North Carolina 4.38% (4.51% APR) – 71.2% 33.2%
North Dakota 4.63% (4.82% APR) – 60.1% 37.7%
Ohio 4.38% (4.50% APR) – 75.4% 27.0%
Oklahoma 4.38% (4.49% APR) – 71.0% 52.4%
Oregon 4.38% (4.54% APR) – 69.6% 19.6%
Pennsylvania 4.25% (4.36% APR) – 62.5% 75.7%
Rhode Island 4.63% (4.82% APR) – 62.6% 36.6%
South Carolina 4.38% (4.50% APR) – 71.0% 29.0%
South Dakota 4.25% (4.37% APR) ™ N/A N/A
Tennessee 4.38% (4.50% APR) – 71.2% 30.7%
Texas 4.25% (4.38% APR) ™ 68.8% 30.6%
Utah 4.38% (4.62% APR) – 73.7% 22.2%
Vermont 4.63% (4.82% APR) – N/A N/A
Virginia 4.25% (4.36% APR) – 71.7% 25.0%
Washington 4.38% (4.51% APR) – 67.9% 21.4%
West Virginia 4.75% (4.95% APR) – 67.0% 68.0%
Wisconsin 4.75% (4.95% APR) – 68.3% 35.6%
Wyoming 4.25% (4.37% APR) – 64.2% 23.0%

For more information on today’s mortgage rates or for state specific mortgage rates, please visithttp://www.lendingtree.com/mortgage-loans/rates/.

The LendingTree Weekly Mortgage Rate Pulse is published every Wednesday. Home loan rates above are reflective of actual rates offered to borrowers by lenders on the LendingTree network. Lowest rates shown reflect the payment of one discount point. Rates will vary based on the borrower’s loan details and credit profile. Visit www.lendingtree.com to learn more.

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Authored by: Richard Lee

Richard has been traveling since he took a year off from college, where he was doing a BA in Journalism. He traveled half the world, backpacking with his girlfriend (now his wife). They spent time in South America, Asia, Greece and much of Europe. After writing about his experiences for several airline and travel magazines, he never went back to college.