Average US 30-year loan rate falls to 3.89 percent

AP News
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Posted: Dec 04, 2014 10:14 AM

WASHINGTON (AP) — Average U.S. long-term mortgage rates fell for the fourth straight week, a continuing boon for potential homebuyers.

Mortgage company Freddie Mac says the nationwide average for a 30-year mortgage declined to 3.89 percent this week from 3.97 percent last week. It is now at its lowest level since May 2013.

Rates are about a half-point lower than at the beginning of the year, when the benchmark 30-year rate stood at 4.53 percent. Rates have fallen in recent weeks amid economic slowdowns in Europe and China, and the start of a recession in Japan.

The average for a 15-year mortgage, a popular choice for people who are refinancing, declined to 3.10 percent from 3.17 percent last week.