In Freddie Mac's results of its Primary Mortgage Market Survey (PMMS) the 30-year fixed-rate mortgage (FRM) averaged 6.09 percent with an average 0.7 point for the week ending September 25, 2008, up from the previous week when it averaged 5.78 percent. Last year at this time, the 30-year FRM averaged 6.42 percent.

The 15-year FRM averaged 5.77 percent with an average 0.6 point, up from the previous week when it averaged 5.35 percent. A year ago at this time, the 15-year FRM averaged 6.09 percent.

Five-year Treasury-indexed hybrid adjustable-rate mortgages (ARMs) averaged 6.02 percent, with an average 0.6 point, up from the previous week when it averaged 5.67 percent. A year ago, the 5-year ARM averaged 6.15 percent.

One-year Treasury-indexed ARMs averaged 5.16 percent with an average 0.5 point, up from the previous week when it averaged 5.03 percent. At this time last year, the 1-year ARM averaged 5.60 percent.

"Mortgage rates followed Treasury bond yields higher this week amid market uncertainty over the current state of the economy," said Frank Nothaft, Freddie Mac vice president and chief economist. "Compared with last week, 10-year Treasury yields are up about 0.3 percentage points, and 30-year fixed-rate loans moved up about the same amount. And while up, interest rates for 30-year FRMs are still more than 0.5 percentage points below this year's peak of 6.63 percent set the week of July 24th.

"The latest housing information for the third quarter continues to show some softness in prices and sales activity. House prices fell 5.3 percent over the twelve months ending in July – weaker than the market consensus – according to the Federal Housing Finance Agency's purchase-only house price index. During August, the median sales price of existing single-family homes (excluding condominiums and co-ops) fell 9.7 percent in August over August 2007, the largest 12-month drop since records began in 1968, according the National Association of Realtors (NAR). Overall resales dipped by 2.2 percent between July and August, on a seasonally-adjusted basis."

Where Are Lenders Getting Credit Scores??

Consumers often mistakenly believe that mortgage lenders use only credit scores from Equifax, Experian, TransUnion, and Fair Isaac's myfico.com to gauge creditworthiness.

However, Consumer Reports recently found that lenders also use NextGen FICO scores, FICO Expansion Scores, and Industry Option FICO scores — which take car loans into consideration — as well as custom formulas.

Given that these credit scores or scoring models are not available to consumers, experts say that consumers should not rely solely on available credit scores to determine their likelihood of getting a loan. They would be wise to make timely bill payments, make more than the minimum payment, hold down credit card balances, and retain old accounts.

Additionally, experts say it might be worth keeping tabls on other credit scores, such as Experian's PLUS scores, which are not yet sold to lenders but could be in the future.

Buyers Crave Green More Than Extra Space

Buyers of custom homes are increasingly interested in money-saving features like extra insulation and energy-efficient furnaces, rather than game rooms and space for in-laws, according to a Home Design Trend Survey by the American Institute of Architects.

Sixty-eight percent of the survey's respondents said customers were requesting extra insulation in the attic compared with 56 percent a year ago.

Two-thirds of respondents said green products such as tankless water heaters, double or triple-glazed windows, and sustainable flooring products such as bamboo or cork were gaining in popularity.

Only 8 percent of the survey’s respondents said game rooms were increasingly popular among their customers, down from 23 percent last year. Home offices also declined in popularity even though they remain the most requested specialty room. Last year, 61 percent of custom home buyers wanted them; this year only 41 percent made the request.

8 Ways to Make a Home Sell Faster

Simple fixes and staging practices can focus buyers' attention in the right places and keep them from getting sidetracked by personal items in the home.

Here are some staging suggestions from Deborah Ehrlich-Layne of Staging Plus in Tampa, Fla., Handyman Matters, and HGTV's The Stagers.