Continuing the trend witnessed in the last month, mortgage rates once again returned to historic lows after rising slightly the week before, according to Freddie Mac.
The Primary Mortgage Market Survey from the government-sponsored enterprise indicates the average rate for 30-year fixed loans dipped back to the all-time low of 3.91 percent during the week ending January 5.
Though the average for 15-year FRMs didn't drop as much during the period, the PMMS shows it still fell near the record low, ending the week at 3.23 percent.
"Fixed mortgage rates started the year a little lower this week just as recent data reports indicate the housing market and manufacturing industry are showing signs of improvement," said Frank Nothaft, Freddie Mac's vice president and chief economist.
Additionally, 5-year adjustable-rate mortgages experienced a modest decline in average during the week, as it fell to 2.86 percent. Meanwhile, the rate for 1-year ARMs rose slightly to 2.8 percent.
George Mokrzan, director of economics at Huntington National Bank in Ohio, told Bloomberg that property data shows sales are starting to pick up nationwide with mortgage rates staying at historic levels in recent weeks.