US 30-year mortgage rates rise to 6.69%, Freddie Mac says
Freddie Mac reported that the average rate on a 30-year fixed mortgage increased to 6.69% this week, up from 6.66% previously.
The Federal Home Loan Mortgage Corporation said its latest Primary Mortgage Market Survey showed the benchmark 30-year fixed-rate mortgage average climbing to 6.69% on Thursday, a slight rise from 6.66% a week earlier. The rate was 6.63% a year ago.
"While mortgage rates continue to influence affordability, the housing market is showing signs of adjustment, with listing prices modestly below year-ago levels and for-sale inventory improving from the limited supply seen in recent years," said Sam Khater, Freddie Mac's chief economist.
The average rate on a 15-year fixed mortgage fell to 6.01% from 6.04% the previous week. Mortgage rates are influenced by the Federal Reserve’s policy and broader market factors, tracking closely with the 10-year Treasury yield, which was around 4.67% on Thursday.
"The upward move comes despite a choppy week in the bond market: The 10-year Treasury yield hit an 18-month high above 4.7% in late July before pulling back several basis points this week on hopes that the U.S. and Iran are nearing a deal to reopen the Strait of Hormuz," said Danielle Hale, chief economist at Realtor.com.
"Mortgage rates have been slow to follow that pullback, and Friday’s jobs report, next week's inflation report and how the Hormuz talks resolve, will determine whether that gap closes in the coming weeks," Hale added.
"Recent mortgage rate volatility makes it a challenging time for homebuyers to navigate the market, especially as this volatility is coming at the upper end of the mortgage rate range we’ve seen over the last year," Hale said.