2006 Outlook Continues To Be For A Slower, But Still Busy, Housing Market

Freddie Mac today released the results of its mortgage survey in which 30 year fixed rate mortgage averaged 6.32 percent for the week ending December 8, 2005, up from last week's average of 6.26 percent. Last year at this time the rate was 5.71 percent.

The average 15 year rate is 5.87 percent, up from last week when it averaged 5.81 percent. A year ago 15 year fixed rate mortgages were avering 5.14 percent.

"Looking ahead, as mortgage rates rise housing activity will ease somewhat" said Frank Nothafta, Freddie Mac VP and chief economist. "So although 2006 will not be another record-setting year, it will likely beat the previous record for home sales and new construction set in 2003. In other words, 2006 will be another busy year for the housing sector."

The Edmond and Oklahoma City market continues its strong growth. The GM plant closing is expected to slow that growth, although Edmond won't be hit as hard as OKC and eastern Oklahoma County.