Mortgage Rates Surpass 7% For First Time This Year

Freddie Mac today released its Primary Mortgage Market Survey, revealing the 30-year fixed-rate mortgage (FRM) averaged 7.10%, breaching the 7% threshold for the first time this year.

“The 30-year fixed-rate mortgage surpassed 7% for the first time this year, jumping from 6.88% to 7.10% this week,” said Sam Khater, Freddie Mac’s chief economist. “As rates trend higher, potential homebuyers are deciding whether to buy before rates rise even more or holding off in hopes of decreases later in the year. Last week, purchase applications rose modestly, but it remains unclear how many homebuyers can withstand increasing rates in the future.”

A year ago at this time, the 30-year FRM averaged 6.39%. 

The 15-year FRM averaged 6.39% as of April 18, up from last week when it averaged 6.16%. A year ago at this time, the 15-year FRM averaged 5.76%.