Multiple key mortgage rates advanced in the Atlanta area this week.
Benchmark 30-year rate higher in Atlanta
According to Bankrate's national survey of large lenders, the average rate on the benchmark 30-year fixed-rate mortgage for the Atlanta area grew to 4.39 percent. Not only did the local rate climb 10 basis points from last week, but it was above the national average rate of 4.13 percent. A basis point is one-hundredth of 1 percentage point.
For mortgages in this week's survey, there were an average of 0.50 discount and origination points.
"With the 30-year fixed rising, it means that homebuyers and refinancers will find it more costly to borrow," says Holden Lewis, Bankrate's senior mortgage analyst.
The increase in the mortgage rate elevated 30-year fixed-rate monthly payments on a hypothetical $165,000 mortgage to $825.28, an increase of $9.77 from last week.
No clear direction for other Atlanta mortgage types
The rate for 30-year jumbo mortgages also ticked upward this week, rising 7 basis points to 4.13 percent. Jumbo mortgages are used for loan amounts above limits set by the Federal Housing Finance Agency; for the Atlanta area, that limit is $417,000.
The average rate for 15-year fixed-rate mortgages ticked upward to 3.48 percent, up 11 basis points from last week. Monthly payments on a hypothetical $165,000, 15-year fixed-rate mortgage followed rates higher, adding $8.93 to $1,177.94.
"Because the 15-year fixed is a popular mortgage for homeowners who want to refinance, the increase means that a refi is less beneficial than it would have been before the rate rise," Lewis says.
The benchmark 5/1 adjustable-rate mortgage rate dropped to 3.46 percent this week, a drop of a whopping 19 basis points. The most common variety of variable-rate mortgage, 5/1 ARMs allow homeowners to pay a fixed rate for the first five years, and the rate adjusts once per year every year after.
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Weekly mortgage survey
|Results from Bankrate's survey of mortgage lenders conducted 11/30/2016. Monthly payments are for a $165,000 loan. The jumbo rate is for the minimum jumbo loan amount of $417,000 in the Atlanta area.|
|30-year fixed||15-year fixed||5-year ARM||30-year jumbo|
|This week's rate:||4.39%||3.48%||3.46%||4.13%|
|Change from last week:||+0.10||+0.11||-0.19||+0.07|
|Change from last week:||+$9.77||+$8.93||-$17.34||+$17.00|