Average rate on 30-year mortgage climbs for 1st time since late May to just under 7%

Date:

Share post:


LOS ANGELES — The average rate on a 30-year mortgage rose this week, pushing up borrowing costs on a home loan for the first time since late May.

The rate rose to 6.95% from 6.86% last week, mortgage buyer Freddie Mac said Wednesday. A year ago, the rate averaged 6.81%.

The uptick follows a four-week pullback in the average rate, which has mostly hovered around 7% this year.

When rates rise they can add hundreds of dollars a month in costs for borrowers. The elevated mortgage rates have been a major drag on home sales, which remain in a three-year slump.

Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also rose this week, pushing the average rate to 6.25% from 6.16% last week. A year ago, it averaged 6.24%, Freddie Mac said.

Mortgage rates are influenced by several factors, including how the bond market reacts to the Federal Reserve’s interest rate policy and the moves in the 10-year Treasury yield, which lenders use as a guide to pricing home loans.



Source link

Lisa Holden
Lisa Holden
Lisa Holden is a news writer for LinkDaddy News. She writes health, sport, tech, and more. Some of her favorite topics include the latest trends in fitness and wellness, the best ways to use technology to improve your life, and the latest developments in medical research.

Recent posts

Related articles

Powell says Fed will likely cut rates cautiously given persistent inflation pressures

WASHINGTON -- Chair Jerome Powell said Thursday that the Federal Reserve will likely cut its key interest...

How Alex Jones' Infowars wound up in the hands of The Onion

The purchase of Alex Jones ' Infowars at a bankruptcy auction by the satirical news publication The...

Latvia charges 2 Lithuanians for counterfeiting Ariel laundry products in organized criminal venture

HELSINKI -- Latvian police said Thursday that criminal proceedings have been initiated against two Lithuanian citizens suspected...

Number of Americans filing for unemployment falls to lowest level in 6 months

The number of Americans applying for unemployment benefits fell to the lowest level in six months last...

Ford agrees to pay penalty to US government for moving too slowly on recalls

DETROIT -- Ford Motor Co. will pay a penalty of up to $165 million to the U.S....

Veteran NBC host Craig Melvin tapped to replace Hoda Kotb for the first hours of 'Today' show

NEW YORK -- Veteran NBC host and news anchor Craig Melvin has been tapped to replace Hoda...

EU slaps Meta with a nearly 800 million euro fine for engaging in 'abusive' Marketplace practices

LONDON -- European Union regulators hit Facebook parent Meta with a fine of nearly 800 million euros...

Maker of Coach handbags calls off merger with company that produces Michael Kors accessories

NEW YORK -- Fashion company Tapestry on Thursday said it's terminating its proposed merger with Capri because...