30-Year Rates Lowest Since 2005!

Long-term mortgage rates remain in a downward pattern, registering the third week in a row of declining interest. According to Freddie Mac's numbers, average interest on 30-year fixed loans settled the week at 5.69 percent - the lowest level since July 2005.

Rates for 15-year fixed mortgages slipped to 5.21 percent from

5.43 percent a week ago; while the five-year adjustable-rate average retreated to 5.4 percent from 5.63 percent, and interest on one-year ARMs dropped to 5.26 percent from 5.37 percent. Observers generally agree that borrowing costs will remain at or near 6 percent for 2008 unless a U.S. recession surfaces - in which case they expect rates to decline further.

[SOURCES: Information, Inc.: Freddie Mac]