Breaking the 3.0% Barrier

July 21, 2020
Breaking the Barrier
Another record this week--and now the 30-year fixed rate average is below 3.0%!


For the week ending July 16, Freddie Mac announced that 30-year fixed rates fell to 2.98% from 3.03% the week before. The average for 15-year loans decreased to 2.48% and the average for five-year ARMs was up slightly to 3.06%. A year ago, 30-year fixed rates averaged 3.81%, more than 0.75% higher than today. "Rates on home loans fell below 3% for the first time in 50 years. The drop has led to increased homebuyer demand and, these low rates have been capitalized into asset prices in support of the financial markets. However, the countervailing force for the economy has been the rise in new virus cases which has caused the economic recovery to stagnate, and this economic pause puts many temporary layoffs at risk of ossifying into permanent job losses," said Sam Khater, Chief Economist, Freddie Mac.

Note: Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.

Current Indices for Adjustable Rate Mortgages
Updated July 17, 2020


Daily Value

Monthly Value


July 16


6-month Treasury Security



1-year Treasury Security



3-year Treasury Security



5-year Treasury Security



10-year Treasury Security



12-month LIBOR


0.533% (June)

12-month MTA


1.171% (June)

11th District Cost of Funds


0.755% (May)

Prime Rate


3.25% (March)