The average rate on a 30-year fixed-rate mortgage went up three basis points, the 15-year fixed rate fell one basis point and the 5/1 ARM was unchanged, according to a NerdWallet survey of daily mortgage rates published by national lenders Friday.
The 30-year, fixed-rate mortgage is three basis points lower than one week ago, and 24 basis points lower than one year ago. A basis point is one one-hundredth of one percent.
While mortgage rates have held relatively steady in the last few months, home flipping appears to have become a little less profitable. Flippers of single-family homes and condos yielded a gross average profit of $66,448 per home in the third quarter, for an average 47.7% return on investment, according to ATTOM Data Solutions, a real estate information vendor. That’s down from 48.7% average return on investment the previous quarter, and the lowest since the second quarter of 2015.
ATTOM defines gross profit as the difference between the purchase price and the selling price, so it doesn’t include the money spent to fix up and sell a home. A flip is defined as a purchase and sale within 12 months.
MORTGAGE RATES TODAY, FRIDAY, DEC. 8:
NerdWallet daily mortgage rates are an average of the published annual percentage rate with the lowest points for each loan term offered by a sampling of major national lenders. APR quotes reflect an interest rate plus points, fees and other expenses, providing the most accurate view of the costs a borrower might pay.