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Mortgage rates ease
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August 26, 1999: 1:32 p.m. ET
Rates decline as economists anticipate slower growth, Freddie Mac says
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NEW YORK (CNNfn) - Mortgage rates declined for the second week in a row amid slower-than-anticipated economic growth, mortgage firm Freddie Mac reported Thursday.
For the week ending Aug. 27, the average rate on U.S. 30-year fixed-rate mortgages was 7.80 percent, down from last week's 7.93 percent. One year ago, the rate was 6.92 percent.
Fifteen-year loan rates fell to 7.43 percent from 7.53 percent the week before. The rate for these mortgages averaged 6.61 percent for the same period last year.
One-year adjustable-rate mortgages were 6.22 percent, up from last week's 6.18 percent. A year ago, the rate was 5.58 percent.
(Click here to see a breakdown of average mortgage rates by U.S. region.)
Freddie Mac deputy chief economist Frank Nothaft attributed the decline to a decrease in overall long-term rates.
"The market anticipated Tuesday's rate hike by the Federal Reserve intended to slow growth. Slower growth generally means lower inflation and lower long-term interest rates," he said. "However, short-term rates, directly effected by the Fed, crept up a bit, pushing ARMs a little more higher." 
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