by Calculated Risk on 6/22/2006 10:21:00 PM

Freddie Mac reported: One-Year ARM At Highest Level In Almost Five Years

Freddie Mac [reported] the 30-year fixed-rate mortgage averaged 6.71 percent ... The 30-year FRM has not been higher since May 31, 2002, when it averaged 6.76 percent.
...
One-year Treasury-indexed ARMs averaged 5.75 percent this week ... The 1-year ARM has not been higher since August 3, 2001, when it averaged 5.77 percent.

Click on graph for larger image.

Rates are now back to 1998 levels.

Will we see 7% for the 30-year fixed this summer?