Mortgage rates sank near all-time lows this week, according to giant home-loan buyer Freddie Mac -- at least for those borrowers who have survived the recession with their credit ratings still solid and who are able to put 20% down.
For those lucky people, the average rate for a 30-year fixed-rate mortgage during the week ending Thursday was 4.94%, with borrowers paying 0.7% of the loan amount in upfront fees and points to the lender. (Paying points, each one equivalent to 1% of the loan, can reduce the interest rate on the mortgage.)
It was the first time since May that Freddie's survey showed a 30-year rate beginning with a 4, although a Mortgage Bankers Assn. survey last week pegged rates at under 5%.
The all-time low for the Freddie Mac survey, which began in 1971, was recorded in April, when the average 30-year fixed rate for solid borrowers dropped to 4.78% with 0.7% in lender fees and discount points.