Average mortgage rates in the US fell last week but are still higher than the record lows seen earlier this year, according to Freddie Mac.
The 30-year mortgage rate slipped to 3.59 percent last week from 3.66 percent previously. Nonetheless, it is still more than the 3.49 percent posted five weeks ago, the lowest rate since 1950.
At the same time, the average rate for 15-year fixed mortgages dipped to 2.86 percent, down from 2.89 percent in the previous week, but is still above the record low of 2.80 percent.
Several economists noted that while the low rates help to drive modest recovery in the housing market, they are not sufficient to sustain the sector.
Loan rates tend to follow the yield on the 10-year Treasury Note. The Eurozone debt crisis and weaker US economy have spurred investors into buying more Treasury securities, leading to lower yields and ultimately lower mortgage rates.
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