The average interest rate for a 30-year mortgage in the United States has increased for the sixth consecutive week, reaching its highest point since early July.
According to mortgage finance company Freddie Mac, the rate climbed to 6.79%, up from 6.72% the previous week. This figure, however, is slightly lower than the average of 7.5% recorded one year ago.

In addition, the rates on 15-year fixed-rate mortgages, which are often favored by homeowners looking to refinance at more favorable terms, also saw a slight increase this week. The rate for this type of mortgage rose to 6% from last week’s 5.99%. Just a year ago, it was averaged at 6.81%, as reported by Freddie Mac.

Higher mortgage rates can significantly impact borrowers, potentially adding several hundred dollars to their monthly payments. This surge in borrowing costs can diminish the purchasing power of homebuyers, especially when property prices remain elevated, despite the ongoing downturn in the housing market that has persisted since 2022.

Numerous elements affect mortgage rates, including the yield on U.S. 10-year Treasury bonds, which lenders utilize to set their home loan pricing. Recently, these bond yields have been rising due to positive economic reports and favorable inflation trends.