Fox Business- Mortgage rates have risen to 6.66%, marking the highest level in a year, according to Freddie Mac.
- The average rate on the benchmark climbed to 6.66% from last week's reading of 6.58%.
- The average rate on a 30-year loan was 6.72% a year ago.
- Mortgage rates are likely to go higher as concerns grow over inflation and the Federal Reserve's plans.
- The 10-year Treasury yield, which closely tracks mortgage rates, jumped more than 4 basis points on Thursday to 4.67%.
- "Since mortgage rates tend to track the 10-year Treasury, that repricing points to upward pressure in the days ahead," said Realtor.com senior economist Anthony Smith.
- "The housing market continues to benefit from more available inventory, providing prospective homebuyers with additional options and helping support buyer activity as mortgage rates fluctuate," said Sam Khater, Freddie Mac's chief economist.
Mortgage rates have reached 6.66%, the highest level in a year, as inflation concerns and the Federal Reserve's monetary policy create uncertainty in the housing market. This increase of 8 basis points from last week's 6.58% reflects broader economic anxieties.123467
According to Freddie Mac, the average rate on a 30-year loan was 6.72% a year ago, indicating a significant rise in borrowing costs. Sam Khater, Freddie Mac's chief economist, noted, "The housing market continues to benefit from more available inventory, providing prospective homebuyers with additional options and helping support buyer activity as mortgage rates fluctuate."5
The surge in mortgage rates is attributed to rising government bond yields, which closely track mortgage rates. The 10-year Treasury yield jumped more than 4 basis points to 4.67% following the Federal Reserve's decision to hold short-term interest rates steady, with three voting members advocating for a hike. Anthony Smith, a senior economist at Realtor.com, stated, "Since mortgage rates tend to track the 10-year Treasury, that repricing points to upward pressure in the days ahead."89
As the market adjusts to these changes, experts warn that rates are likely to continue rising, further complicating the landscape for potential homebuyers.
“The average 30-year mortgage rate increased 8 basis points this week, marking its highest level since July 2025, according to Freddie Mac. Sam Khater, Freddie Mac's chief economist, noted that the housing market is benefiting from increased inventory, which is supporting buyer activity despite rising rates.”
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