Thirty- and 15-year fixed mortgage rates closed out the week by rising five basis points each this morning, while 5/1 ARM rates fell by two basis points, according to a NerdWallet survey of mortgage rates published by national lenders on Friday.
NAHB: Builders confident in 2017
Two reports released this week by the National Association of Home Builders expressed confidence in the construction of single- and multifamily homes for 2017.
Nationwide housing starts rose by 11.3% in December to a seasonally adjusted annual rate of 1.23 million units, according to yesterday’s NAHB report, which included data from the Department of Housing and Urban Development and the Census Bureau.
Overall, single-family starts rose 9% in 2016, while multifamily construction was down slightly, according to NAHB chief economist Robert Dietz.
“We expect that 2017 will be another year of gradual, steady improvement in the housing market,” Dietz said. “Multifamily starts have been volatile in recent months but should level off as supply meets demand. Meanwhile, single-family production continues to gain momentum but is limited by supply-side headwinds.”
Dietz said the NAHB forecasts 10% growth in single-family construction this year, despite “concerns about rising mortgage interest rates” and “a lack of lots and access to labor.”
NAHB Chairman Granger MacDonald said builders have started this year “optimistic that a new Congress and administration will help create a better business climate for small businesses, particularly as it relates to streamlining and reforming the regulatory process.”
Homeowners looking to lower their mortgage rate can shop for refinance lenders here.
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.
Michael Burge is a staff writer at NerdWallet, a personal finance website. Email: firstname.lastname@example.org.