Rate on 30-year mortgage falls to record 3.87 pct.

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WASHINGTON (AP) -- The average rate on the 30-year fixed mortgage fell this week to a record low, the ninth time that has happened in the last year. Even with the cheapest rates in history, the housing market remains depressed. : o! j9 E4 t0 f( x  R/ Q8 g  |2 S
Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan dropped to 3.87 percent this week. That below the previous record of 3.88 hit two weeks ago.
8 c$ ^/ s9 z8 M3 `* S1 d& kThe average on the 15-year fixed mortgage fell to 3.14 percent, also a record low. Records for mortgage rates date back to the 1950s. 4 g) f4 _5 y  b+ `5 G8 j* s
Mortgage rates tend to track the yield on the 10-year Treasury note, which fell below 1.9 percent this week. 9 N3 f6 h; R1 X3 R. d  `) `
Rates have been low for more than a year, and the average rate on the 30-year loan has hovered near 4 percent for more than three months. Yet few people can afford to buy a home or qualify for a loan. Those who can have already done so.
% @# ?* N; S: uHigh unemployment and scant wage gains have made it harder for many people to qualify for loans. Many don't want to sink money into a home that they fear could lose value over the next few years. ( D" o' I! a4 u
Sales of previously occupied homes were dismal last year. New-home sales in 2011 were the worst on records going back half a century. 0 D# t) P( z7 l2 t
Builders are hopeful that the low rates could boost sales next year. But so far, they have had a minimal impact. 4 T. R4 i0 Z; [8 _% {6 ?' ~

5 q' f! F# e  p, AMortgage applications have risen slightly over the past four weeks, according to the Mortgage Bankers Association. But they are coming off extremely low levels.
8 X. n7 ]( c0 F( f. v) y/ b2 E  o& X/ CTo calculate the average rates, Freddie Mac surveys lenders across the country Monday through Wednesday of each week.
* f3 N6 K- C) G% X5 L+ v. lThe average rates don't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount. % B- h+ T$ m! A- ^5 Y
The average fee for the 30-year loan rose to 0.8 from 0.7; the average on the 15-year fixed mortgage was unchanged at 0.8. ! Y) Z! I( ?) ]& Z
For the five-year adjustable loan, the average rate fell to 2.80 percent from 2.85 percent. The average on the one-year adjustable loan rose to 2.76 percent from 2.74 percent. ! {. q5 o8 z! d" O  ~
The average fee on the five-year adjustable loan rose was unchanged at 0.7; the average on the one-year adjustable-rate loan was unchanged at 0.6.