Mortgage rates once again reach an all time low, breaking their previous record. Mortgage rates have broken their own record several times this year according to Freddie Mac statistics. Freddie has been tracking mortgage interest rates since 1971.
Freddie Mac gathers its information from several lenders across the country from Monday through Wednesday every week. Freddie then calculates an average interest rate to post on its website. Rates often change and fluctuate significantly sometimes several times a day. http://www.freddiemac.com/pmms/pmms_archives.html
Rates fell on the heels of the Federal Reserves announcement to purchase $600 billion in Treasury bonds over the next few months. The Feds will purchase $105 billion of the $600 billion next month. Just the announcement alone has driven the price of treasuries up and the yield downward.
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