Mortgage Rates in U.S. Match Record Low Set in April

Fixed 30-year mortgage rates dropped for a fourth consecutive week, matching a record low set in April, in a decline that may further support increasing sales in the battered housing market.

The rate dropped to 4.78 percent from 4.83 percent last week, mortgage buyer Freddie Mac of McLean, Virginia, said today in a statement. The average 15-year rate was 4.29 percent.

Low mortgage costs and a tax credit for first-time homebuyers are helping increase demand for property, putting existing home sales on pace to hit 6.1 million this year. A falling number of unsold homes is also beginning to stabilize prices. The S&P/Case-Shiller home-price index rose 0.27 percent in September from August, the fourth consecutive gain. (more)