The average rate for a 30-year fixed-rate mortgage continued to climb this week, reaching 7.49% as of Oct. 5, up from 7.31% last week, according to Freddie Mac’s Primary Mortgage Market Survey.
“Mortgage rates maintained their upward trajectory as the 10-year Treasury yield, a key benchmark, climbed,” says Sam Khater, chief economist for Freddie Mac, in a statement. “Several factors, including shifts in inflation, the job market and uncertainty around the Federal Reserve’s next move, are contributing to the highest mortgage rates in a generation. Unsurprisingly, this is pulling back homebuyer demand.”
A year ago at this time, the average rate for a 30-year was 6.66%.
The average rate for a 15-year fixed-rate mortgage was 6.78%, up from 6.72% last week.
A year ago at this time, the average rate for a 15-year was 5.90%.
Yesterday, the Mortgage Bankers Association reported that mortgage application volume fell to the lowest level since 1996, during the week ended September 29, due to rising rates.
Photo: Alison Pang