Average U.S. rates on fixed mortgages declined last week, edging closer to historically low levels, AP reports.
Mortgage buyer Freddie Mac said Thursday that the average rate for the 30-year loan fell to 4.32% from 4.37% last week. The average for the 15-year mortgage eased to 3.32% from 3.38%.
Mortgage rates have risen about a full percentage point since hitting record lows roughly a year ago.
The year-long increase was driven by speculation that the Federal Reserve would reduce its $85 billion-a-month bond purchases, which have helped keep long-term interest rates low.
Deeming the economy to be gaining strength, the Fed announced in December and January — and again on Wednesday — that it was reducing its monthly bond purchases.
