Following several weeks of increases, mortgage rates decreased, giving some relief to home buyers.

The Fed’s monthly bond purchase program has been keeping mortgage rates low for the past year, but there has been concern recently that the program will be ending soon, which has prompted mortgage rates to move up the last few weeks. 

This week, "fixed mortgage rates fell as Federal Reserve Chairman Bernanke helped ease market concerns about the Fed reducing its bond purchases,” says Frank Nothaft, vice president and chief economist, Freddie Mac.

Freddie Mac reported the following national averages with mortgage rates for the week ending July 18: 

• 30-year fixed-rate mortgages: averaged 4.37 percent, with an average 0.7 point, dropping from last week’s 4.51 percent average. A year ago, 30-year rates averaged 3.53 percent. 
• 15-year fixed-rate mortgages: averaged 3.41 percent, with an average 0.7 point, dropping from last week’s 3.53 percent average. Last year at this time, 15-year rates averaged 2.83 percent. 
• 5-year adjustable-rate mortgages: averaged 3.17 percent, with an average 0.6 point, dropping from last week’s 3.26 percent average. Last year at this time, 5-year ARMs averaged 2.69 percent. 
• 1-year ARMs: averaged 2.66 percent, with an average 0.5 point, holding the same as last week. A year ago, 1-year ARMs averaged 2.69 percent. 

Source: Freddie Mac