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.
8 N4 s4 V; ?( n2 K6 vMortgage 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. ' y# L9 l. [. V5 d7 w
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. $ V, L/ M2 u2 d+ f
Mortgage rates tend to track the yield on the 10-year Treasury note, which fell below 1.9 percent this week.   o4 X6 z& g4 C9 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.
: \! r; L1 M4 P1 a1 t- wHigh 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. " R* u! ~1 a. A% X  M
Sales of previously occupied homes were dismal last year. New-home sales in 2011 were the worst on records going back half a century.
) o0 A% [% K7 \* EBuilders are hopeful that the low rates could boost sales next year. But so far, they have had a minimal impact. % c; S6 k$ Z& m& V
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Mortgage applications have risen slightly over the past four weeks, according to the Mortgage Bankers Association. But they are coming off extremely low levels. ! F, D, M( s7 x9 O7 z: |
To calculate the average rates, Freddie Mac surveys lenders across the country Monday through Wednesday of each week. 5 `% L6 Y' o" T
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. 1 f. ~% N' S4 P3 g: s6 C
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. ! s. G' z7 |. k
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.
" n- h: l; H5 o/ G% s9 J- b- j& YThe 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.