BANKING & FINANCE - Aug. 16, 1996

30-Year Mortgage Rates Hold Steady: Thirty-year fixed-rate mortgages averaged 7.88% this week, unchanged from last week, according to a national survey released by the Federal Home Loan Mortgage Corp. The average remained at the lowest level since April 4, when rates averaged 7.78%. Rates have generally been falling since July 11, when they averaged 8.42%, the highest since 8.62% in March 1995. On one-year adjustable-rate mortgages, lenders were asking an average initial rate of 5.81%, down from 5.89% last week. Fifteen-year mortgages, a popular option for those refinancing mortgages, averaged 7.39% this week, down from 7.40% a week earlier. The rates do not include add-on fees known as points.