Mortgage Rates Hit Lowest Level in Two Years

Rates for a standard 30-uear, fixed-rate loan climbed 0.22% to 4.51%, which represents the highest it has been since July 2011, according to CNNMoney. The average rate for a 15-year loan hit 3.53%, which his up 0.14%. Increases in employment rates played a large part in the increase, according to Keith Gumbinger, vice president of HSH.com. In addition to job gains, hourly wages rose by 2.2% over the past year, which is the largest annual increase in nearly two years. These factors coupled together aided the spike in rates. The news may not be good for house hunters, as rates have risen more than a percentage point since early May from 3.35% to 4.5%. That, with the fact that home prices have risen 12% over the past year, has made it harder, financially speaking, for people to buy a home and obtain a mortgage. To view the CNNMoney article, click here.