The US mortgage rates have recorded a rise this week after the Federal Reserve indicated that it eill start cutting back its fiscal stimulus package for the US economy.

The Freddie Mac's Primary Mortgage Market Survey showed that average rate for a 30-year fixed-rate mortgage rose to 4.48 per cent during the week till 26 December, 2013, recording an increase of 0.7 per cent compared to the previous week. The 30-year fixed-rate mortgage averaged 3.35 per cent during the same week of the previous year.

The average rate for a 15-year fixed-rate mortgage rose 0.7 per cent to around 3.52 per cent compared to the previous week. the 15-year fixed-rate mortgage averaged 2.65 per cent during the same week of the previous year. The average rate for a five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 3 per cent which is 0.4 per cent higher compared to the previous week. The rate was at the level of 2.70 per cent during the same week of the previous year.

The experts have expressed concern as the US Federal Reserve started cutting back its bonds buying programme as the US economy showed signs of recovery. Federal Reserve officials had indicated that they might start withdrawing its stimulus package as the US economy continues to shows sign of strong recovery.