US 30-year mortgage rate climbs to 6.66%, highest in a year
Why it matters: Higher borrowing costs are squeezing buyers as home sales stay sluggish and Fed rate cuts look less likely.
The average rate on a 30-year fixed US mortgage rose for a fourth straight week to 6.66%, its highest level in a year, Freddie Mac said Thursday. The rate was 6.58% a week earlier and 6.72% a year ago. The average 15-year fixed mortgage, often used for refinancing, also increased to 6.04% from 5.96% last week. Higher mortgage rates can add hundreds of dollars to monthly payments, weakening purchasing power and discouraging buyers in an already slow housing market. Mortgage costs have moved up as the 10-year Treasury yield climbed and inflation concerns persisted after the Federal Reserve left its benchmark rate unchanged.