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.
# S; ?8 H9 U3 }5 oMortgage 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 F2 m; i6 M8 d' T% Z3 f/ q
The 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.
7 P' q7 s' F' ~7 E6 |+ JMortgage rates tend to track the yield on the 10-year Treasury note, which fell below 1.9 percent this week. 9 V; V. y, p5 w7 e- E! v
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.
- j6 L% i8 `! e" c) SHigh 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. 1 |, |& m7 j2 R8 l6 {
Sales of previously occupied homes were dismal last year. New-home sales in 2011 were the worst on records going back half a century. ! D8 Y6 Z, A9 R1 `# v, n
Builders are hopeful that the low rates could boost sales next year. But so far, they have had a minimal impact.
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/ \9 Z( v" P! Q$ w4 H9 b( ~4 kMortgage applications have risen slightly over the past four weeks, according to the Mortgage Bankers Association. But they are coming off extremely low levels.
4 Z" y) ~! i6 d# N3 ATo calculate the average rates, Freddie Mac surveys lenders across the country Monday through Wednesday of each week. 2 N; U* p  i* M8 L+ p! k1 s
The 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. + I8 Y. l" }/ L9 ]5 W" t
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. * |! R, s8 F3 Y7 x
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. : C; f) B5 \5 G6 P6 u
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.