Mortgage rates receded in the Atlanta area this week.
Key 30-year rate declines in Atlanta
The average rate on the benchmark 30-year fixed-rate mortgage rate for the Atlanta area ticked downwards to 3.85%, according to Bankrate's national survey of large lenders. While the local rate was down 1 basis point from last week, it eclipsed the national average rate of 3.57%. A basis point is one-hundredth of 1 percentage point.
The average mortgage in our survey this week had 0.55 discount and origination points.
"The drop in the 30-year fixed is cause for celebration among those who waited to lock on a rate, as their decision paid off," says Holden Lewis, Bankrate's senior mortgage analyst.
Monthly payments on a hypothetical $165,000 mortgage fell to $773.53, dropping $0.94 from last week, corresponding with the dip in mortgage rates.
No clear direction for other Atlanta mortgage types
Breaking ranks with the 30-year conventional mortgage, the average rate for 30-year jumbo mortgages didn't register a change this week, remaining at 3.56%. Jumbo mortgages are used for loan amounts above limits set by the Federal Housing Finance Agency. Those limits start at $417,000 and can range up to $625,500, depending on the location.
The average rate for 15-year fixed-rate mortgages ticked upward 2 basis points, climbing to 3.04%. Monthly payments on a hypothetical $165,000, 15-year fixed-rate mortgage followed rates higher, scaling up $1.59 to $1,142.64.
"Because the 15-year fixed is a popular mortgage for homeowners who want to refinance, the increase means that a refi is less advantageous than it would have been before the rate rise," says Lewis.
The benchmark 5/1 adjustable-rate mortgage rate went down to 3.23% this week, a drop of 4 basis points. 5/1 adjustable-rate mortgages allow homeowners to pay a fixed rate for the first 5 years, and the rate adjusts once per year every year after. They are the most popular type of variable-rate mortgage.
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Weekly mortgage survey
|Results from Bankrate's Aug. 24 survey of mortgage lenders. Monthly payments are for a $165,000 loan. The jumbo rate is for the minimum jumbo loan amount of $417,000 in Atlanta.|
|30-year fixed||15-year fixed||5-year ARM||30-year jumbo|
|This week's rate:||3.85%||3.04%||3.23%||3.56%|
|Change from last week:||-0.01||+0.02||-0.04||N/C|
|Change from last week:||-$0.94||+$1.59||-$3.61||N/C|