This Sept. 21, 2018 photo shows a for sale sign in front of a home in north Jackson, Miss. On Thursday, Oct. 4, Freddie Mac reports on the week’s average U.S. mortgage rates. (AP Photo/Rogelio V. Solis)

US mortgage rates edge lower; 30-year rate at 4.71 percent

October 04, 2018 - 11:14 am

WASHINGTON (AP) — Long-term U.S. mortgage rates edged slightly lower this week, taking a pause after five straight weeks of increases.

Costs for would-be homebuyers have been climbing, and the key 30-year rate has been running at its highest levels in more than seven years. Mortgage buyer Freddie Mac says the average rate on 30-year, fixed-rate mortgages ticked down to 4.71 percent this week from 4.72 percent last week. The average benchmark rate has risen from 3.85 percent a year ago.

The average rate on 15-year, fixed-rate loans slipped to 4.15 percent this week from 4.16 percent last week.

The Federal Reserve signaled its confidence in the economy last week by raising a key interest rate for a third time this year, forecasting another rate hike before year's end.

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