After 4 weeks of rising costs, mortgage rates finally recede.

According to Freddie Mac’s weekly Primary Mortgage Market Survey, the average 30-year fixed rate mortgage rate dropped 7 basis points to 3.59% this week. Depending on where you live, however, you may find that your offered mortgage rates varies. Freddie Mac’s “published rate” is a national average based on a survey of more 125 banks.

The rates you receive as an individual vary by bank, and vary by region.  

Mortgage applicants in the North Central Region were most likely to get the lowest rates of all applicants nationwide last week. By contrast, applicants in the Southeast Region were most likely to get the highest rates.

Average mortgage rates in the five U.S. regions, as tracked by Freddie Mac :

• Northeast Region : 3.59 percent for a 30-year fixed rate mortgage
• West Region : 3.58 percent for a 30-year fixed rate mortgage
• Southeast Region : 3.64 percent for a 30-year fixed rate mortgage
• North Central Region : 3.57 percent for a 30-year fixed rate mortgage
• Southwest Region : 3.61 percent for a 30-year fixed rate mortgage

Across all 5 regions, mortgage rates were quoted with an accompanying 0.6 discount points, on average, plus a full set of closing costs. 1 discount point is equal to one percent of your loan size. Closing costs vary by county.

One year ago, the 30-year fixed rate mortgage rate averaged 4.22%. Today, it averages 3.59%. This 63 basis point difference yields a $36 monthly savings per $100,000 borrowed. 

On a $250,000 mortgage, that’s $1,080 in savings per year.

If watched mortgage rates rise through August and felt as if you missed the market bottom, consider this week your second chance. The 30-year fixed rate mortgage does remains above its all-time low of 3.49 percent, but this week’s drop in rates in encouraging. It’s the biggest one-week drop in rates in more than 3 months.

Talk to your loan officer about how today’s mortgage rates can work for your budget. 

Mortgage rates keep on rising.

According to Freddie Mac’s weekly Primary Mortgage Market Survey, for the third straight week, the 30-year fixed rate mortgage rate rose, this time tacking on 3 basis points on a week-over-week basis to 3.62%, on average, nationwide. The 3.62% mortgage rate is available to mortgage applicants willing to pay 0.6 discount points plus a full set of closing costs.

Freddie Mac’s published mortgage rates are compiled from a 125-bank survey.

Looking back, it appears that national 30-year fixed rate mortgage rates bottomed at 3.49% in late-July. In the weeks leading up to that bottom, mortgage rates had dropped in 11 of 12 weeks. Since then, however, mortgage rate have increased steadily, climbing to a 7-week high, depending on where you live. 

Mortgage rates vary by region. As reported by Freddie Mac, mortgage applicants in the South Region are currently paying the highest rates. Applicants in the North Central are paying the lowest.

• Northeast Region : 3.62% with 0.6 discount points
• West Region : 3.59% with 0.6 discount points
• Southeast Region : 3.68% with 0.6 discount points
• North Central Region : 3.58% with 0.6 discount points
• Southwest Region : 3.66% with 0.6 discount points

Mortgage rates don’t figure to drop in the coming weeks, either. The same forces that drove mortgage rates down between January-July of this year are the same ones that are driving rates up today — expectations for new Federal Reserve-led stimulus.

Earlier this year, the economy was stalling; growing slowly, but not convincingly. This led to Wall Street speculation for the Federal Reserve to implement a bond-buying program that would lead mortgage rates down, among other outcomes. The Fed repeated comments that it would do what is necessary to keep the economy on track only served to fuel such speculation.

Last month, however, at the Federal Open Market Committee, Ben Bernanke & Co. did not add new stimulus, and seemed content to take a “wait-and-see” approach with the economy. Since then, Europe appears to have put itself on-track and the U.S. economy has shown signs of expansion.   

The August rise in rates is Wall Street reversing its bets; planning for no new stimulus at all.

Mortgage rates remain low, though. If you’ve yet to join this year’s refinance boom, or if you’re hunting for a home, consider locking something in. In a few weeks, mortgage rates may be higher still.