MCLEAN, Va. – Freddie Mac (OTCQB: OTC:FMCC), a prominent player in the Financial Services industry with a market capitalization of $10.89 billion, today announced that the 30-year fixed-rate mortgage (FRM) has risen to 6.91 percent, marking the highest level in nearly six months. This figure, derived from the company’s Primary Mortgage Market Survey® (PMMS®), shows a slight increase from the previous week’s average of 6.85 percent. This time last year, the 30-year FRM averaged at 6.62 percent.
The survey also reported that the 15-year fixed-rate mortgage averaged 6.13 percent, up from 6.0 percent last week, and higher than the 5.89 percent average from the same period last year.
Freddie Mac’s survey typically focuses on conventional, conforming, fully amortizing home purchase loans for borrowers who place a 20 percent down payment and possess excellent credit.
Sam Khater, Freddie Mac’s Chief Economist, highlighted that despite the elevated rates compared to last year, there is a trend of buyers becoming more active as indicated by a rise in pending home sales. The increase in mortgage rates comes amid ongoing affordability challenges in the housing market.
Freddie Mac, established in 1970, aims to promote liquidity, stability, affordability, and equity in the housing market. The organization plays a critical role in supporting homeownership for families across the United States through various economic cycles. According to InvestingPro data, the company has demonstrated strong performance with a remarkable 303% return over the past year and maintains an overall Financial Health Score of GREAT.
This recent data on mortgage rates is based on a press release statement and provides a snapshot of the current state of the housing finance market. It is essential for potential homebuyers and industry stakeholders to consider these figures in their decision-making processes. For deeper insights into Freddie Mac’s financial metrics and 11 additional exclusive ProTips, consider subscribing to InvestingPro, your comprehensive source for professional-grade financial analysis.
In other recent news, Freddie Mac reported a third-quarter loss of -$0.02 per share, a significant decline from the same period last year, falling short of analyst estimates. However, the company’s quarterly revenue significantly surpassed expectations, coming in at $5.84 billion, a figure that exceeded the analyst estimate of $3.61 billion. Billionaire investor Bill Ackman anticipates that U.S. President-elect Donald Trump may end the conservatorship of Freddie Mac, potentially returning them to private ownership. Ackman suggested that Freddie Mac could exit conservatorship within the next two years, potentially leading to their public listing around 2026. Freddie Mac’s Chief Economist, Sam Khater, commented on the current state of the housing market, noting a small improvement in new and existing home sales but emphasizing the persistent issue of housing undersupply. In addition, Freddie Mac reported that the 30-year fixed-rate mortgage rate has reached 6.72 percent, marking the highest level since early August. These are recent developments in the financial services industry.
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