30-Year Mortgage Average Falls to 6.87%

The average interest rate on 30-year fixed-rate mortgages declined this week to the lowest level since mid-February. The average was 6.87%, down from 6.92% the previous week and the lowest in eight weeks, said mortgage company Freddie Mac. So far this year, rates have fluctuated between 6.74% at the end of January and 7.11% in mid-March. Fifteen-year mortgages, a popular option for refinancing, averaged 6.47% this week, also an eight-week low and down from 6.53%. On one-year adjustable-rate mortgages, lenders were asking an average initial rate of 5.56%. The rates do not include add-on fees known as points, which averaged at or just over 1% of the loan amount for all three types of mortgages.