Mortgage rates a mixed bag

WASHINGTON (AP) — Mortgages rates were a mixed bag last week, with benchmark 30-year mortgages edging down, one-year adjustable-rate mortgages shooting up and 15-year mortgages holding steady.

Freddie Mac, in its weekly survey, said rates on 30-year, fixed-rate mortgages averaged 5.72 this week, down from 5.74 percent last week.

Rates on 30-year mortgages hit a high this year of 6.34 percent the week of May 13. After that, rates drifted lower.

The relatively good behavior of long-term mortgage rates has pleased economists. "At this time last year, our forecast called for interest rates for 30-year fixed-rate mortgages to exceed 6 percent by this time this year," said Frank Nothaft, Freddie Mac's chief economist.

Low mortgage rates are helping to keep the housing market humming.

New-home sales rose 0.2 percent in October from the previous month to an annual rate of 1.23 million, the third best showing ever. Sales in the Northeast surged 19.7 percent to a rate of 85,000.