According to the latest report by The Federal Home Loan Mortgage Corporation, the 30-year fixed mortgage rate increased by eight basis points to 6.46% for the week, reaching its highest level since Sept. 4. Meanwhile, the 15-year loan rose by two basis points to 5.77%.
The news comes after the Mortgage Bankers Association reported that mortgage applications dropped by 10.4 percent in their latest weekly update.
The Refinance Index decreased 17 percent from the previous week and was 33 percent higher than the same week one year ago.
Mike Fratantoni, Chief Economist at the Mortgage Bankers Association wrote, “The 30-year mortgage rate, now at 6.57 percent, reached its highest level since last August and is up half a percentage point from just one month ago. Refinance application volumes declined sharply again last week, dropping 17 percent, and are down more than 40 percent compared to last month.”
“The headwinds of higher rates are being offset somewhat by the buyer’s market in many parts of the country – there are more homes for sale than buyers have seen in some time. Moreover, purchase applications for FHA and VA loans continue to hold up better than those for conventional buyers. However, the shocks of the jump in rates and the increase in overall economic uncertainty are likely having an impact on buyer confidence.”
Today’s mortgage rates sit at:
- 30-year fixed: 6.30%
- 20-year fixed: 6.34%
- 15-year fixed: 5.67%
- 5/1 ARM: 6.26%
- 7/1 ARM: 6.28%
- 30-year VA: 5.84%
- 15-year VA: 5.51%
- 5/1 VA: 5.46%
Interest rates are predominantly affected by the stock and bond markets; at present, they are experiencing substantial fluctuations, influenced by President Trump’s statements concerning geopolitical tensions.
By CEO NA Editorial Staff
