Mortgage rates have climbed above 7%. Here's how we got here and what it means
2 months, 1 week ago

Mortgage rates have climbed above 7%. Here's how we got here and what it means

NPR  

Mortgage rates have climbed above 7%. Here's how we got here and what it means toggle caption Brandon Bell/Getty Images/Getty Images North America Mortgage rates hit 7% for the first time since May 2024 on Thursday, providing another drag in an already tough housing market. The climbing mortgage rates come even after the Federal Reserve cut interest rates by a full percentage point in recent months — which had raised hopes among home buyers that the costs of financing a house might come down. It's also worth remembering that although 7% may feel high given that mortgage rates had dropped to as low as 2.65% in early 2021, they are not high historically speaking. But that's likely little consolation for home buyers who had gotten used to low mortgage rates in recent years, especially since home prices have risen so much.

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History of this topic

Average US rate on a 30-year mortgage rises slightly for the second week in a row
6 days, 17 hours ago

Average US rate on a 30-year mortgage rises slightly for the second week in a row

Associated Press  

Associated Press — The average rate on a 30-year mortgage in the U.S. rose slightly for the second week in a row, a modest setback for prospective home shoppers as the spring homebuying season ramps up. “The 30-year fixed-rate mortgage has stayed under 7% for nine consecutive weeks, which is helpful for potential buyers and sellers alike,” said Sam Khater, …

Mortgage rates have declined but could stay at a level that makes it tough to afford a home
2 weeks, 6 days ago

Mortgage rates have declined but could stay at a level that makes it tough to afford a home

Associated Press  

LOS ANGELES — Mortgage rates have been mostly declining in recent weeks, helping encourage prospective home shoppers just as the spring homebuying season gets going. Mortgage rates are influenced by several factors, including bond market investors’ expectations for future inflation, global demand for U.S. Treasurys and the Federal Reserve’s interest rate policy decisions. While one could say the bond market …

Average US rate on a 30-year mortgage slips to 8-week low after fifth-straight weekly decline
1 month ago

Average US rate on a 30-year mortgage slips to 8-week low after fifth-straight weekly decline

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased for the fifth week in a row to its lowest level since late December, a welcome boost for prospective homebuyers in what’s traditionally the busiest time of the year for home sales. The average rate fell to 6.85% from 6.87% last week, mortgage buyer Freddie Mac said Thursday. Sales …

Average US rate on a 30-year mortgage falls to 6.89%, third straight weekly decline
1 month, 2 weeks ago

Average US rate on a 30-year mortgage falls to 6.89%, third straight weekly decline

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased for the third week in a row, a smidgen of relief for prospective home shoppers getting into the market before the busy spring homebuying season starts. The average rate fell to 6.89% from 6.95% last week, mortgage buyer Freddie Mac said Thursday. The average rate on a 30-year mortgage …

Average rate on 30-year mortgage eases for second week in as row, but remains just below 7%
1 month, 3 weeks ago

Average rate on 30-year mortgage eases for second week in as row, but remains just below 7%

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased for the second week in a row, but remains just below 7%, little relief for prospective home shoppers looking ahead to the spring homebuying season. The average rate on a 30-year mortgage briefly fell to a 2-year low just above 6% last September, but has been mostly rising since …

Average rate on 30-year mortgage slips below 7% after climbing five weeks in a row
2 months ago

Average rate on 30-year mortgage slips below 7% after climbing five weeks in a row

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased this week to just below 7%, its first decline after climbing five weeks in a row. Mortgage applications edged up last week, but have been subdued in recent weeks as the average rate on a 30-year home loan hovered around 7%, according to the Mortgage Bankers Association. Mortgage rates …

Mortgage rates have hit 7%. What should people searching for a home do?
2 months, 1 week ago

Mortgage rates have hit 7%. What should people searching for a home do?

NPR  

Mortgage rates have hit 7%. And first of all, the Fed doesn't really control mortgage rates, although it does control a lot of things. And so if you have a superior credit score, which shows that you are a good bill payer, that you're qualified to get a mortgage, then you shop around for the best rate. If you're already …

Average rate on 30-year mortgage hits 7% after 5th straight increase, now highest level since May
2 months, 1 week ago

Average rate on 30-year mortgage hits 7% after 5th straight increase, now highest level since May

Associated Press  

The average rate on a 30-year mortgage in the U.S. ticked up this week to slightly above 7%, the highest level in eight months. The average rate on a 30-year mortgage is now the highest it’s been since May 9, when it was at 7.09%. Interest rates have been climbing since the Federal Reserve signaled last month that it expected …

Why are interest rates rising when the Fed has been cutting them?
2 months, 1 week ago

Why are interest rates rising when the Fed has been cutting them?

Associated Press  

NEW YORK — What’s shaking Wall Street seems so backwards. The bond market’s moves might seem strange given that the Federal Reserve has lowered interest rates three times starting in September. But the Fed’s influence is limited when it comes to the interest rates that are currently knocking the stock market around, chiefly the 10-year Treasury yield. And the 10-year …

Average US long-term mortgage rate inches up to 6.93% this week for fourth straight increase
2 months, 2 weeks ago

Average US long-term mortgage rate inches up to 6.93% this week for fourth straight increase

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The average long-term U.S. mortgage …

Average US long-term mortgage rate inches up to 6.93% this week for fourth straight increase
2 months, 2 weeks ago

Average US long-term mortgage rate inches up to 6.93% this week for fourth straight increase

Associated Press  

The average long-term U.S. mortgage rate ticked up again this week, remaining at its highest level since July. The benchmark 30-year fixed rate loan rate rose to 6.93% from 6.91% last week, according to mortgage giant Freddie Mac. While sales of previously occupied U.S. homes rose in November for the second straight month, the housing market remains in a slump …

Average rate on a 30-year U.S. mortgage hits 6.91%, according to Freddie Mac, the highest since July
2 months, 3 weeks ago

Average rate on a 30-year U.S. mortgage hits 6.91%, according to Freddie Mac, the highest since July

Associated Press  

WASHINGTON — U.S. mortgage rates rose this week to the highest level since July. The benchmark 30-year fixed rate loan rate rose to 6.91% from 6.85% last week, according to mortgage giant Freddie Mac. The average rate on a 15-year fixed-rate mortgage, popular with homeowners seeking to refinance, climbed to 6.13%, up from 6% and also the highest since July. …

Mortgage rates inch closer to 7% to close out 2024
2 months, 3 weeks ago

Mortgage rates inch closer to 7% to close out 2024

CNN  

New York CNN — Mortgage rates are climbing again, in yet another unwelcome sign to homebuyers. That’s the highest level in nearly six months and is also up from the prior week when mortgage rates averaged 6.85% versus the latest week’s average of 6.91%. The latest uptick in mortgage rates comes despite the Federal Reserve’s quarter-point interest rate cut last …

Average rate on a 30-year mortgage climbs to 6.85%, highest since July, as bond yields keep rising
3 months ago

Average rate on a 30-year mortgage climbs to 6.85%, highest since July, as bond yields keep rising

Associated Press  

WASHINGTON — The average rate on a 30-year mortgage in the U.S. rose for the second week in a row to its highest level since mid-July, reflecting a recent jump in the bond yields that lenders use as a guide to price home loans. It dipped as low as 6.08% in September — a 2-year low — and as high …

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more
3 months ago

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more

LA Times  

Though the Fed doesn’t set mortgage rates, it does influence them. “Because the upcoming Trump administration’s policies might cause a resurgence in inflation or otherwise throw the economy off balance, the Fed might choose to take a wait-and-see approach and hold rates steady at their January meeting.” Depending on the specific proposals the Trump administration manages to enact, the Fed …

Average rate on 30-year mortgage snaps 3-week slide and rises to highest level since late November
3 months, 1 week ago

Average rate on 30-year mortgage snaps 3-week slide and rises to highest level since late November

Associated Press  

The average rate on a 30-year mortgage in the U.S. rose this week to its highest level since late November, reflecting a recent uptick in the bond yields that lenders use as a guide to price home loans. The rate rose to 6.72% from 6.6% last week, mortgage buyer Freddie Mac said Thursday. The average rate on a 30-year mortgage …

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more
3 months, 1 week ago

The Fed expects to cut rates more slowly in 2025. What that could mean for mortgages, debt and more

Associated Press  

NEW YORK — The Federal Reserve’s third interest rate cut of the year will likely have consequences for debt, savings, auto loans, mortgages and other forms of borrowing by consumers and businesses. “Because the upcoming Trump administration’s policies might cause a resurgence in inflation or otherwise throw the economy off balance, the Fed might choose to take a wait-and-see approach …

U.S. Federal Reserve is set to cut key rate but consumers might not feel much benefit anytime soon
3 months, 1 week ago

U.S. Federal Reserve is set to cut key rate but consumers might not feel much benefit anytime soon

The Hindu  

Federal Reserve officials on Wednesday will likely signal a slower pace of interest rate cuts next year compared with the past few months, which would mean that Americans might enjoy only slight relief from still-high borrowing costs for mortgages, auto loans and credit cards. The central bank’s policymakers may signal that they expect to reduce their key rate just two …

Average rate on 30-year mortgage hits 6.6%, its third straight weekly decline
3 months, 2 weeks ago

Average rate on 30-year mortgage hits 6.6%, its third straight weekly decline

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased for the third week in a row, welcome relief for prospective homebuyers during what’s typically a less competitive time of the year for the housing market. The rate dropped to 6.6% from 6.69% last week, mortgage buyer Freddie Mac said Thursday. The average rate on a 30-year mortgage is …

Trump may renew a housing fight that could rattle mortgage rates
3 months, 3 weeks ago

Trump may renew a housing fight that could rattle mortgage rates

CNN  

CNN — During his second term, President-elect Donald Trump is widely expected to privatize Fannie Mae and Freddie Mac, the mortgage giants that guarantee 70% of America’s mortgages. The government’s stake in the two mortgage giants could be valued at billions of dollars, meaning a spinoff would potentially net a big payday for the government and private investors in the …

Average rate on a 30-year mortgage in the US slips to 6.81%
3 months, 3 weeks ago

Average rate on a 30-year mortgage in the US slips to 6.81%

Associated Press  

The average rate on a 30-year mortgage in the U.S. eased this week, though it remains near 7% after mostly rising in recent weeks. Despite the low sales activity, inventory has only modestly improved and remains dramatically undersupplied.” Mortgage rates slid to just above 6% in September following the Federal Reserve’s decision to cut its main interest rate for the …

Mortgage rates: Bad news if you’re looking to buy a house in the next two years
4 months ago

Mortgage rates: Bad news if you’re looking to buy a house in the next two years

CNN  

Washington CNN — Americans looking to purchase a home in the next few years will have a tough pill to swallow. Mortgage rates are now expected to stay stuck above 6% for at least the next two years, according to economists and recent forecasts. Wells Fargo economists project mortgage rates to average 6.3% by the end of next year, according …

Average rate on a 30-year mortgage in the US rises to highest level since July
4 months ago

Average rate on a 30-year mortgage in the US rises to highest level since July

Hindustan Times  

The average rate on a 30-year mortgage in the U.S. edged closer to 7% this week, climbing to its highest level since July. Average rate on a 30-year mortgage in the US rises to highest level since July The rate rose to 6.84% from 6.78% last week, mortgage buyer Freddie Mac said Thursday. When mortgage rates increase they can add …

Average rate on a 30-year mortgage in the US rises to highest level since July
4 months ago

Average rate on a 30-year mortgage in the US rises to highest level since July

Associated Press  

The average rate on a 30-year mortgage in the U.S. edged closer to 7% this week, climbing to its highest level since July. When mortgage rates increase they can add hundreds of dollars a month in costs for borrowers, reducing homebuyers’ purchasing power at a time when home prices remain near all-time highs, even though U.S. home sales are on …

Trump enters just as the Fed is shifting its focus
4 months, 2 weeks ago

Trump enters just as the Fed is shifting its focus

Live Mint  

With its second consecutive interest-rate cut this year, the Federal Reserve is attempting to boost the odds of a soft landing. Alternatively, any resurgence in inflation could force the Fed to stop cutting rates, raising the odds that the economy faces a hard landing later in Trump’s term. Due in part to the Fed cutting rates with a solid economy, …

The Fed cuts interest rates — but Trump's election could make things trickier
4 months, 2 weeks ago

The Fed cuts interest rates — but Trump's election could make things trickier

NPR  

The Fed cuts interest rates — but Trump's election could make things trickier toggle caption Anna Moneymaker/Getty Images North America The Federal Reserve lowered interest rates by a quarter percentage point Thursday, as expected — but the central bank may grow more cautious about future rate cuts as it monitors the impact of economic policies in a second Trump administration. …

Mortgage rates are rising. Experts cite economic strength, inflation and possible Trump win
4 months, 3 weeks ago

Mortgage rates are rising. Experts cite economic strength, inflation and possible Trump win

LA Times  

Mortgage rates have been on the rise despite recent action from the Federal Reserve. In September, the Federal Reserve lowered its benchmark interest rate for the first time since 2020, giving hope to prospective home buyers that mortgage rates would follow suit. “They are saying ‘What’s going on?’” The fact that mortgage rates have gone up despite the cut underscores …

Mortgage Rates Continue to Rise as Economic Data Remains Strong
5 months ago

Mortgage Rates Continue to Rise as Economic Data Remains Strong

CNN  

Mortgage rates rose again this week, marking the fourth consecutive weekly increase. The average rate on a standard, 30-year fixed mortgage was 6.54% in the week ending October 24, 2023, the highest level since early August but still below this year's high of 7.22% seen in early May. Expectations of a Fed rate cut caused mortgage rates to drop to …

Why mortgage rates have gone up, and when they might settle
5 months, 2 weeks ago

Why mortgage rates have gone up, and when they might settle

NPR  

Why mortgage rates have gone up, and when they might settle Mortgage rates have inched higher recently, after falling for several weeks. AYESHA RASCOE, HOST: You might expect that mortgage rates would be falling right now after the Federal Reserve cut interest rates by half a point last month. It's because mortgage rates aren't tied to the Fed's interest rate, …

Fed cuts interest rates by half point for first time in years. Here’s what that means for you
6 months, 1 week ago

Fed cuts interest rates by half point for first time in years. Here’s what that means for you

The Independent  

The latest headlines from our reporters across the US sent straight to your inbox each weekday Your briefing on the latest headlines from across the US Your briefing on the latest headlines from across the US SIGN UP I would like to be emailed about offers, events and updates from The Independent. In an official statement, the Fed’s Federal Open …

How the economy will respond to the Fed's rate cuts
6 months, 1 week ago

How the economy will respond to the Fed's rate cuts

Politico  

“Rate cuts going into the end of this year and the beginning of next year will help provide some momentum to the economy,” said Bharat Ramamurti, a former Biden White House official who’s now advising Harris’s campaign. “Very sharp and significant Fed rate hikes didn’t have the same effect on the economy that you would have expected,” said David Wessel, …

Will interest rate decline shake up California housing market?
6 months, 1 week ago

Will interest rate decline shake up California housing market?

LA Times  

The interest rate on a 30-year fixed mortgage has fallen from above 7% in May to the low 6% range as of last week. For many prospective homebuyers, the last two years have been brutal as high home prices and mortgage rates produced the most unaffordable housing market since the 2000s bubble. Experts attribute the recent decline in mortgage rates …

Fed leader, concerned about jobs downturn, tees up interest rate cuts
7 months ago

Fed leader, concerned about jobs downturn, tees up interest rate cuts

LA Times  

Federal Reserve Chair Jerome H. Powell now sees inflation as less of a threat and maximizing jobs as even more important. But Powell’s emphasis on doing “everything we can to support a strong labor market” gave some economists reason to think that the Fed could make a half-point move next month. Powell said that the pace of policy actions would …

Wall Street 'Oracle' reveals the mortgage rate magic number which will get the housing market moving
7 months, 2 weeks ago

Wall Street 'Oracle' reveals the mortgage rate magic number which will get the housing market moving

Daily Mail  

Mortgage rates have fallen to their lowest level in 15 months - but one expert is warning a bigger drop is needed to kickstart the frozen housing market. Meredith Whitney said that mortgage rates need to hit 6 percent or below in order to kickstart the frozen market The average 30-year fixed-rate mortgage eased to 6.47 percent this week, according …

Average rate on a 30-year mortgage falls to 6.73%, lowest level since early February
7 months, 3 weeks ago

Average rate on a 30-year mortgage falls to 6.73%, lowest level since early February

Associated Press  

LOS ANGELES — The average rate on a 30-year mortgage fell this week to its lowest level since early February, easing borrowing costs for prospective homebuyers facing record-high home prices. After jumping to a 23-year high of 7.79% in October, the average rate on a 30-year mortgage has mostly hovered around 7% this year — more than double what it …

Why have interest rates fallen, and what does it mean?
7 months, 3 weeks ago

Why have interest rates fallen, and what does it mean?

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England has …

US home sales fell in June to slowest pace since December amid rising mortgage rates, home prices
8 months ago

US home sales fell in June to slowest pace since December amid rising mortgage rates, home prices

Associated Press  

LOS ANGELES — The nation’s housing slump deepened in June as sales of previously occupied homes slowed to their slowest pace since December, hampered by elevated mortgage rates and record-high prices. Existing home sales sank to a nearly 30-year low last year as the average rate on a 30-year mortgage surged to a 23-year high of 7.79%, according to mortgage …

Average rate on a 30-year mortgage drops to 6.77%, sliding to lowest level since March
8 months, 1 week ago

Average rate on a 30-year mortgage drops to 6.77%, sliding to lowest level since March

Live Mint  

LOS ANGELES — The average rate on a 30-year mortgage dropped this week to a four-month low, a welcome decline in borrowing costs for prospective homebuyers grappling with the challenge of record-high home prices and a dearth of properties on the market. “Mortgage rates are headed in the right direction and the economy remains resilient, two positive incremental signs for …

Average rate on a 30-year mortgage drops to 6.77%, sliding to lowest level since March
8 months, 1 week ago

Average rate on a 30-year mortgage drops to 6.77%, sliding to lowest level since March

Associated Press  

LOS ANGELES — The average rate on a 30-year mortgage dropped this week to a four-month low, a welcome decline in borrowing costs for prospective homebuyers grappling with the challenge of record-high home prices and a dearth of properties on the market. “Mortgage rates are headed in the right direction and the economy remains resilient, two positive incremental signs for …

High interest rates are hurting people. Here’s why it’s worse for Californians
8 months, 3 weeks ago

High interest rates are hurting people. Here’s why it’s worse for Californians

LA Times  

By the numbers, the overall U.S. economy may look good, but down at the street level the view is a lot grimmer and grittier. “I’ve been really sacrificing a lot to get to this point to purchase a home and now I just feel like I got here but I didn’t work quick enough because interest rates have gotten the …

Average rate on a 30-year mortgage eased this week to 6.86%, lowest level since early April
8 months, 3 weeks ago

Average rate on a 30-year mortgage eased this week to 6.86%, lowest level since early April

Live Mint  

LOS ANGELES — The average rate on a 30-year mortgage eased again this week, extending a welcome trend for prospective homebuyers facing record-high home prices. “The 30-year fixed-rate mortgage continues to trend down, hitting the lowest level in almost three months,” said Sam Khater, Freddie Mac’s chief economist. “By historical standards, the economy is in good shape, and we expect …

Average rate on a 30-year mortgage eased this week to 6.86%, lowest level since early April
8 months, 3 weeks ago

Average rate on a 30-year mortgage eased this week to 6.86%, lowest level since early April

Associated Press  

LOS ANGELES — The average rate on a 30-year mortgage eased again this week, extending a welcome trend for prospective homebuyers facing record-high home prices. “The 30-year fixed-rate mortgage continues to trend down, hitting the lowest level in almost three months,” said Sam Khater, Freddie Mac’s chief economist. “By historical standards, the economy is in good shape, and we expect …

Average long-term US mortgage rate falls again, easing to lowest level since early April
9 months ago

Average long-term US mortgage rate falls again, easing to lowest level since early April

Associated Press  

LOS ANGELES — Home loan borrowing costs eased again this week as the average rate on a 30-year mortgage declined to its lowest level since early April. “Mortgage rates fell for the third straight week following signs of cooling inflation and market expectations of a future Fed rate cut,” said Sam Khater, Freddie Mac’s chief economist. Federal Reserve officials said …

Long-term mortgage rates retreat for second straight week, US average at 7.02%
10 months, 1 week ago

Long-term mortgage rates retreat for second straight week, US average at 7.02%

Associated Press  

The average rate on a 30-year mortgage in the U.S. fell for the second straight week, giving some relief to home shoppers already facing sky-high prices and a shortage of supply. The average 30-year rate fell to 7.02% from 7.09% last week, mortgage buyer Freddie Mac said Thursday. Mortgage rates are influenced by several factors, including how the bond market …

Average long-term US mortgage rate snaps five-week string of increases, but remains above 7%
10 months, 2 weeks ago

Average long-term US mortgage rate snaps five-week string of increases, but remains above 7%

Associated Press  

LOS ANGELES — The average rate on a 30-year mortgage fell for the first time in four weeks, a slight relief for home shoppers already facing the challenges of rising housing prices and a shortage of homes for sale. Mortgage rates are influenced by several factors, including how the bond market reacts to the Federal Reserve’s interest rate policy and …

The Fed indicated rates will remain higher for longer. What does that mean for you?
10 months, 3 weeks ago

The Fed indicated rates will remain higher for longer. What does that mean for you?

LA Times  

A sign highlighting the financing interest rate is displayed near the price sticker on an unsold vehicle at a Mercedes-Benz dealership. Mortgage rates, credit card rates, auto loan rates and business loans with variable rates will all likely maintain their highs, with consequences for consumer spending, after the Federal Reserve indicated Wednesday that it doesn’t plan to cut interest rates …

The Fed indicated rates will remain higher for longer. What does that mean for you?
10 months, 3 weeks ago

The Fed indicated rates will remain higher for longer. What does that mean for you?

Associated Press  

NEW YORK — Mortgage rates, credit card rates, auto loan rates, and business loans with variable rates will all likely maintain their highs, with consequences for consumer spending, after the Federal Reserve indicated Wednesday that it doesn’t plan to cut interest rates until it has “greater confidence” that price increases at the consumer level are slowing to its 2% target. …

The Fed indicated rates will remain higher for longer. What does that mean for you?
10 months, 3 weeks ago

The Fed indicated rates will remain higher for longer. What does that mean for you?

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please try again later {{ …

It’s not just the Fed driving up your mortgage rate
10 months, 3 weeks ago

It’s not just the Fed driving up your mortgage rate

Live Mint  

Mortgage rates are back above 7%, sending home buyers in search of ways to trim the cost of their loans. “It’s very common to find a half-point difference between lender A and lender B, just by making a couple phone calls," said Michael Lorino, a real-estate agent with AssumeList in Alexandria, Va. Optimal Blue, a mortgage technology and data company …

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