MORTGAGE RATES DOWN FOR THE THIRD CONSECUTIVE WEEK

30-Year AND 15-Year FRM At Lowest Level Since July 2005

McLean, VA – Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey® (PMMS®) in which the 30-year fixed-rate mortgage (FRM) averaged 5.69 percent with an average 0.5 point for the week ending January 17, 2008, down from last week when it averaged 5.87 percent as well. Last year at this time, the 30-year FRM averaged 6.23 percent.

The 15-year FRM this week averaged 5.21 percent with an average 0.4 point, down from last week when it averaged 5.43 percent. A year ago at this time, the 15-year FRM averaged 5.98 percent.

Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 5.40 percent this week, with an average 0.6 point, down from last week when it averaged 5.63 percent. A year ago, the 5-year ARM averaged 6.04 percent.

One-year Treasury-indexed ARMs averaged 5.26 percent this week with an average 0.6 point, down from last week when it was 5.37 percent. At this time last year, the 1-year ARM averaged 5.51 percent.

(Average commitment rates should be reported along with average fees and points to reflect the total cost of obtaining the mortgage.)

"The latest retail sales report indicated that shoppers scaled back spending in December, as retail sales declined by 0.4 percent from November's level," said Frank Nothaft, Freddie Mac vice president and chief economist. "Particularly weak were sales of building materials, garden equipment and supply stores, which fell by 2.9 percent from the previous month. The declines aggravated concerns about the well being of the economy and exerted downward pressure on mortgage rates.

"Mortgage rates moved down across loan products for the third consecutive week. Average rates on 30-year fixed-rate mortgages (FRMs) and 15-year FRMs are at their lowest since July 2005. The results from this week's survey mark the first time in seven years that the average rate on the 15-year FRM is lower than the average rate on 1-year adjustable-rate mortgages (ARMs)."

Freddie Mac is a stockholder-owned corporation established by Congress in 1970 to support homeownership and rental housing. Freddie Mac purchases single-family and multifamily residential mortgages and mortgage-related securities, which it finances primarily by issuing mortgage-related securities and debt instruments in the capital markets. Over the years, Freddie Mac has made home possible more than 50 million times, ensuring financing for one in six homebuyers and more than four million renters.

SUMMARY OF SURVEY RESULTS

Fixed-Rate Mortgages
	Average Conventional 30-Year Commitment Rate	Fees & Points	Average Conventional 15-Year Commitment Rate	Fees & Points
US	5.69	0.5	5.21	0.4
Northeast	5.80	0.2	5.25	0.2
Southeast	5.65	0.5	5.20	0.5
N. Central	5.75	0.3	5.22	0.3
Southwest	5.68	0.5	5.21	0.5
West	5.64	0.6	5.20	0.6

Five/One-Year Adjustable-Rate Mortgages
	First Commitment Rate	Fees & Points	Margin
US	5.40	0.6	2.75
Northeast	5.45	0.6	2.76
Southeast	5.38	0.6	2.76
N. Central	5.45	0.4	2.77
Southwest	5.37	0.7	2.76
West	5.37	0.6	2.74

One-Year Adjustable-Rate Mortgages
	First Commitment Rate	Fees & Points	Margin
US	5.26	0.6	2.77
Northeast	5.30	0.5	2.75
Southeast	5.21	0.7	2.77
N. Central	5.33	0.7	2.79
Southwest	5.15	0.7	2.78
West	5.27	0.5	2.79

Freddie Mac defines its regions as follows:

Northeast: NY, NJ, PA, DE, MD, DC, VA, WV, ME, NH, VT, MA, RI, CT
Southeast: NC, SC, TN, KY, GA, AL, FL, PR, VI, MS
North Central: OH, IN, IL, MI, WI, MN, IA, ND, SD
Southwest: TX, LA, NM, OK, AR, MO, KS, CO, NE, WY
West: CA, AZ, NV, OR, WA, UT, ID, MT, HI, AK, GU

Freddie Mac's Primary Mortgage Market Survey (PMMS) is for informational purposes only and Freddie Mac is not responsible for business decisions made based on the reported results of the PMMS. Freddie Mac may change the methodology used to conduct the PMMS survey at any time and without notice.

On the net: www.Freddiemac.com

Do your homework

JACKSONVILLE, Fla. – Jan. 22, 2008 – Buy milk. Go to dry cleaner. Pay bills. Such reminder notes cover refrigerators, but tasks such as “vacuum refrigerator coils” don’t usually appear on to-do lists.

But benign neglect today equals costly repairs tomorrow. Preventive maintenance stabilizes a home’s value, something buyers and sellers always want to do. Concerns are especially acute while the real-estate market remains turbulent.

We asked Lou Manfredini, Ace Hardware’s expert, and Bob Markovich, home and yard editor for Consumer Reports, to suggest simple steps you can take to keep things running smoothly.

Roof
Every six months inspect this area of the house through binoculars. Check for damage or missing shingles.

Refrigerator
Because it runs 24/7, this appliance is one of the hardest working in the house. Remove the screws that hold the kick plate in place. The plate is on the bottom of the front of the refrigerator. Vacuum coils under the refrigerator every two to four weeks. Coils could also be on the back of the refrigerator.

Stove
Industry experts say sales of smooth-top stoves continue to climb. Do not use a damp cloth to clean smooth-top stoves. Chlorine and other chemicals in tap water can damage the porous surface. Instead, use a specialized cleaner. Apply it to a cloth, and then wipe the stove. If you have a gas stove, be careful not to touch the igniter when you are cleaning spills on burners.

Dishwasher
Every time you load the silverware caddy, make sure none of the utensils sticks up so far that it blocks the spray arm located at the bottom of the dishwasher. This could damage the spray arm and obstruct the flow of water, greatly reducing the efficiency of the washer. Clean the spray arm and inspect the strainer each month. The strainer should be free of food, broken glass and other debris.

Dryer
Clean the lint trap every time you use the dryer. To keep the appliance running efficiently and to reduce the risk of fire, clean the exhaust duct annually. You might have to move the dryer away from a wall. Disconnect the dryer duct from the machine. Use a duct cleaning brush kit to unclog the duct. Though many folks consider dryer maintenance a DIY task, you can hire a professional service company to do it. Fees range from $75 to $175.

Washer
At least once a year, remove grit from hose washer screens. The screens can be found where hoses attach to the pipes that supply the water.

Water heater
To conserve energy, set the thermostat at 120 degrees. Drain the water heater at least once a year to prevent sediment from building up inside the unit.

Air filters
Replace them at least once a month. A dirty, ripped or clogged filter could reduce the efficiency of your heating and cooling system by as much as 30 percent, Manfredini said. Replacing filters will help improve the air quality inside your home.

Air- conditioning and heating unit
Have a professional inspect the system annually. Condenser coils must remain free of debris. Ducts leading from the unit into the home must be sealed properly. Plant shrubs at least 12 to 14 inches away from the outdoor unit to prevent leaves, branches and twigs from clogging the system.

Gutters
Keep gutters unclogged to prevent water from backing up inside them. Water could pool on the roof and cause structural damage. Check downspouts at least twice a month. If water is not flowing out while it’s raining, then you know you have a problem. Place a leaf blower at the mouth of the gutter to dislodge anything that might be stuck inside. If you are comfortable climbing a ladder, go to the roof and sweep away the debris. Or climb the ladder so that you can reach the place where the gutter connects to the roof. Spray water through a hose to clear the downspout.

Decks
Use a pressure washer with a wide-spray nozzle to clean decks. Make your own gallon of cleaning solution that is 1/4 bleach and 3/4 water. Markovich suggests adding 3 ounces of TSP phosphate cleaner. Begin with the nozzle about 2 feet away from the deck, and move closer as needed. To avoid damaging the decking, keep the nozzle at least 6 inches away from the deck’s surface. About every three years, depending on weather conditions, re-apply a deck treatment product designed to resist damage from UV rays, weather and normal wear and tear. For wood decking, Markovich recommends using Cabot Decking Stain 1480, an opaque, oil-based substance, or Cabot Solid Color 1880, a latex substance.

2008 The Florida Times-Union, Brandy Hilboldt Allport; via ProQuest Information and Learning Company; All Rights Reserved