Mortgage rates increased slightly for a second week, as the average rate for a 30-year, fixed-rate mortgage climbed to 6.12%, up from 6.08% 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 7.49%.
“The decline in mortgage rates has stalled due to a mix of escalating geopolitical tensions and a rebound in short-term rates that indicate the market’s enthusiasm on rate cuts was premature,” says Sam Khater, chief economist for Freddie Mac, in a statement. “Zooming out to the bigger picture, mortgage rates have declined one and a half percentage points over the last 12 months, home price growth is slowing, inventory is increasing, and incomes continue to rise. As a result, the backdrop for homebuyers this fall is improving and should continue through the rest of the year.”
The average rate for a 15-year fixed-rate mortgage was 5.25%, up from 5.16% last week and up from 6.78% a year ago.
Yesterday the Mortgage Bankers Association reported that mortgage application volume fell 1.3% during the week ended September 27, as mortgage rates rose slightly.
Photo: Alison Pang
