NEW YORK (CNNMoney.com) -- Mortgage rates fell slightly after three weeks of gains as the initial effects of credit woes spread to the housing market, Freddie Mac reported Thursday.
The government-sponsored loan buyer said the 30-year fixed-rate mortgage averaged 6.37 percent for the week ending October 3, down from 6.42 percent from the week earlier. At this time last year, the 30-year fixed-rate mortgage averaged 6.30 percent.
"The initial effects of the credit market turmoil that began in August are starting to emerge in housing statistics," said Freddie Mac chief economist Frank Nothaft.
"New home sales in August fell to the slowest pace in more than seven years and the median sales price had the largest twelve-month decline since 1970," said Nothaft, who noted that August's pending existing home sales fell to their lowest level on record since 2001.
In the 12-month period ending July, the housing sector lost 260,000 jobs while the overall economy gained 1.8 million new non-farm payroll employees, Nothaft said, and the housing market lost about a percentage point off of GDP growth through consumption and investment for the 12 months ending June.
In its latest mortgage market survey, Freddie Mac said rates on 15-year fixed-rate loans averaged 6.03 percent, down from an average 6.09 percent last week and 5.98 percent a year ago.
Five-year adjustable-rate mortgages (ARMs) averaged 6.11 percent this week, down from an average last week of 6.15 percent. A year ago, 5-year adjustable-rate mortgages averaged 6 percent.
One-year adjustable-rate mortgages averaged 5.58 percent this week, down from 5.60 percent last week. At this time last year, the 1-year ARM averaged 5.46 percent. 
