Rates edge up June 24,2009

The benchmark 30-year, fixed-rate mortgage edged up 4 basis points, to 5.8 percent, according to a national survey of large lenders. A basis point is one-hundredth of 1 percentage point. The mortgages in this week's survey had an average total of 45 discount and origination points. One year ago, the mortgage index was 6.62 percent; four weeks ago, it was 5.45 percent.

Also in a weekly survey, the benchmark 15-year, fixed-rate mortgage dipped 3 basis points, to 5.16 percent. The benchmark 5/1 adjustable-rate mortgage declined 11 basis points, to 5.26 percent.

Last week's dip in mortgage rates appears to have spurred both new mortgage and mortgage refinance activity, with applications increasing a seasonally adjusted 6.6 percent for the week ending June 19, according to the Mortgage Bankers Association.

When compared with one week earlier, applications for new purchases jumped 7.3 percent, the biggest one-week percentage gain since early April. Refinance activity increased 5.9 percent.

This week's rise follows four weeks of sharp declines in mortgage activity.
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