Real Estate Central

NEW YORK, May 1 /PRNewswire-FirstCall/ — Fixed mortgage rates inched
upward for the third week in a row, with the average conforming 30-year
fixed mortgage rate rising to 6.16 percent. According to Bankrate.com’s
weekly national survey of large lenders, the average 30-year fixed mortgage
has an average of 0.36 discount and origination points.

(Logo: http://www.newscom.com/cgi-bin/prnh/20040122/FLTHLOGO )

The average 15-year fixed rate mortgage popular for refinancing is now
5.71 percent, while the average jumbo 30-year fixed rate nosed up to 7.35
percent. Adjustable mortgage rates were no exception, with the average 5/1
ARM rising to 5.96 percent while the average 1-year ARM soared to 6.96
percent.

The turmoil that was so prevalent in credit markets earlier in the year
has given way to smoother waters in recent weeks. Accordingly, fixed
mortgage rates have been comparatively placid in contrast to the wild
gyrations seen during the first quarter. Mortgage rates are closely related
to yields on long-term government bonds. Short of a crisis in the credit
markets, the Federal Reserve is expected to hold off from further interest
rate cuts. But mortgage rates could still be volatile in the weeks ahead.
Additional signs of economic weakness, such as another poor employment
report for April, would likely push mortgage rates down. Inflation is a
risk as well, and could propel rates higher in the weeks ahead.

Mortgage rates have been on a wild ride since the beginning of the
year. The average 30-year fixed mortgage rate was as low as 5.57 percent in
January, meaning that a

00,000 loan would have carried a monthly payment
of $1,144.38. In February, the average 30-year fixed rate got as high as
6.41 percent, which meant the same

00,000 loan would have carried a
monthly payment of $1,252.32. Today, with the average rate at 6.16 percent,
a

00,000 loan would mean a monthly payment of $1,219.75.



SURVEY RESULTS

30-year fixed: 6.16% — up from 6.11% last week (avg. points: 0.36)
15-year fixed: 5.71% — up from 5.70% last week (avg. points: 0.39)
5/1 ARM: 5.96% — up from 5.92% last week (avg. points: 0.44)

Bankrate’s national weekly mortgage survey is conducted each Wednesday
from data provided by the top 10 banks and thrifts in the top 10 markets.

For a full analysis of this week’s move in mortgage rates, go to
http://www.bankrate.com/mortgagerates

The survey is complemented by Bankrate’s weekly forward-looking Rate
Trend Index, in which a panel of mortgage experts predicts which way the
rates are headed over the next 30 to 45 days. A majority, 56 percent, think
rates are headed higher. The remaining 44 percent are evenly split between
forecasting a decline and expecting rates to remain more or less unchanged
in the coming 30 to 45 days.

For the full mortgage Rate Trend Index, go to
http://www.bankrate.com/RTI

About Bankrate, Inc. (Nasdaq: RATE)

The Bankrate network of companies includes Bankrate.com, Interest.com,
Mortgage-calc.com, Nationwide Card Services, Savingforcollege.com, Fee
Disclosure and InsureMe. Each of these businesses helps consumers to make
informed decisions about their personal finance matters. The company’s
flagship brand, Bankrate.com is a destination site of personal finance
channels, including banking, investing, taxes, debt management and college
finance. Bankrate.com is the leading aggregator of rates and other
information on more than 300 financial products, including mortgages,
credit cards, new and used auto loans, money market accounts and CDs,
checking and ATM fees, home equity loans and online banking fees.
Bankrate.com reviews more than 4,800 financial institutions in 575 markets
in 50 states. In 2007, Bankrate.com had nearly 60 million unique visitors.
Bankrate.com provides financial applications and information to a network
of more than 75 partners, including Yahoo! (Nasdaq: YHOO), America Online
(NYSE: TWX), The Wall Street Journal and The New York Times (NYSE: NYT).
Bankrate.com’s information is also distributed through more than 500
newspapers.



For more information contact:
Kayleen Keneally
Bankrate, Inc.
kkeneally@bankrate.com
917-368-8677

NOTE TO EDITORS: The information contained in this release is available
for print or broadcast with attribution to Bankrate.com



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Source: Real Estate Newswire