Fixed mortgage rates have once again broken record lows in the week ending November 15, according to Freddie Mac.
The government-sponsored enterprise's Primary Mortgage Market Survey showed 15-year fixed-rate mortgages averaged 2.65 percent, down from 2.69 percent in the previous week. A year ago, 15-year FRMs averaged 3.31 percent.
Meanwhile, 30-year FRMs averaged 3.34 percent. This was a descent from the 3.4 percent in the past week and 4 percent seen a year ago at this time.
"Fixed mortgage rates eased this week to record lows on indicators of higher consumer confidence and lower wholesale prices," said Frank Nothaft, vice president and chief economist at Freddie Mac. "Consumer sentiment rose in November to the highest reading since July 2007 according to the University of Michigan."
Patrick Newport, economist at IHS Global Insight, told Bloomberg that record low rates have played a role in stabilizing home prices. Additionally, they have helped borrowers refinance their loans for lower payments, which has increased the amount of buying power they have.