Mortgage rates continue to rise as the average 30-year, fixed rate mortgage has now climbed to 7.28% this week. That’s the highest average rate since November 2023.
From the New York Times:
“Mortgage rates jumped to their highest level in almost three years, pushing borrowers to the sidelines,” said Joel Kan, deputy chief economist at the Mortgage Bankers Association, a trade group.
Mortgage rates had fallen below 6 percent at the end of February, but began to climb after the United States and Israel attacked Iran on Feb. 28.
The war in Iran has driven up energy costs, which in turn has stoked inflation fears.
In response, investors have pushed up the yield on the 10-year Treasury note, which on Thursday reached its highest level since 2002. The jump in mortgage rates this week was the biggest since October 2022.
Home buyers can opt for an adjustable-rate mortgage (ARM) which usually have an attractive beginning “teaser rate,” but aren’t guaranteed that rate for the life of the loan.
As a licensed Realtor here in Las Vegas for the past 20 years, I can tell you the real estate market has been on the slow side as buyers were/are clearly waiting for rates to drop.
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