Florida Mortgage Rates Inch Slightly Upward

Florida mortgage rates changed little this week as rather small increases in economic figures left experts guessing as to their direction.

The government-sponsored loan buyer Freddie Mac said the average rate on a 30-year fixed-rate Florida home loan slightly rose to 6.46 percent for the week ending September 6, 2007 - from 6.45 percent last week.

Last year at this time, 30-year mortgage rates were 6.47 percent.

Florida mortgage borrowing costs were largely unchanged, experts said, because the most recent economic news showed smaller-than-expected increases.

“For instance, core personal consumption expenditure price index rose at an annualized rate of 1.3 percent in the second quarter and consumer spending data showed a 1.9 percent gain in the core price index for the 12 months ending in July,” Frank Nothaft, Freddie Mac V.P. and chief economist, said.

Rates on 15-year fixed-rate loans - a popular Florida refinance option for home owners - averaged 6.15 percent in the latest week, up a bit from 6.12 percent last week.

A year ago, 15-year Florida mortgage rates averaged 6.16 percent.

Five-year adjustable-rate mortgages (ARMs) averaged 6.35 percent this week, up ever so slightly 6.34 percent last week.

A year ago, 5-year ARMs averaged 6.11 percent.

One-year ARMs, lastly, averaged 5.84 percent this week, up from 5.60 percent last week. They were at 5.59 percent this time a year ago.

SOURCE: CNN Money