Mortgage rates continued to increase this week, with the average rate for a 30-year, fixed-rate mortgage reaching 6.93%, up from 6.91% last week, according to Freddie Mac’s Primary Mortgage Market Survey.
A year ago at this time, the average rate for a 30-year was 6.66%.
“In the first full week of the new year, the 30-year fixed-rate mortgage remained elevated at just under 7 percent,” says Sam Khater, chief economist for Freddie Mac, in a statement. “The continued strength of the economy has put upward pressure on mortgage rates, and along with high home prices, continues to impact housing affordability. The lack of entry-level supply also remains an issue, especially for those looking to become first-time homeowners.”
The average rate for a 15-year fixed-rate mortgage was 6.14%, up from 6.13% last week and up from 5.87% a year ago.
Yesterday the Mortgage Bankers Association reported that mortgage application volume decreased 3.7% during the week ended January 3, as rates continued to rise.
Photo: Chris Liverani
