Mortgage rates fell across the board this week, as mortgage applications and home prices take a tumble too.
The benchmark 30-year fixed-rate mortgage dropped by 1 basis point, settling at 4.95 percent. The widely followed 15-year fixed-rate mortgage moved in a similar fashion, averaging 4.14 percent, a decline of 2 basis points.
The 30-year jumbo averaged 5.4 percent, down 4 basis points.
The Federal Reserve is keeping interest rates low, as housing lingers as one of the weakest sectors in the economy. Home prices continued to slide as the economy struggles to break out of its funk, down 3.3 in the S&P's Case-Shiller Index of 20 metro areas. And according to the Mortgage Bankers Association, mortgage applications decreased 5.6 percent from last week.
Of course if you are in the market for a home, the smartest thing you can do is shop around for the best rates ... you can do that by visiting Bankrate.com. I'm Kristin Arnold.