Freddie Mac said the average 30-year fixed mortgage rate rose to 7.28% this week
from 7.03% last week, the sixth consecutive weekly increase and the highest
since November 2023; it was 6.34% a year earlier. The 15-year fixed rate climbed
to 6.60% from 6.42%. After dipping to 5.98% at end-February, the 30-year rate
has risen roughly 130bps, increasing monthly payments on a $400,000 mortgage by
about $276. AP reported that a jump in oil prices has lifted inflation
expectations and pushed U.S. Treasury yields higher: the 10-year yield moved
from 3.97% at end-February to about 5.27% intraday Thursday, further pressuring
mortgage costs. Higher interest rates continue to weigh on the housing market:
existing-home sales fell 2% MoM in August to a 3.98 million annualized pace, the
weakest in over a year.
