Overview
- Freddie Mac reported the 30-year fixed mortgage averaged 6.66% for the week ending July 30, 2026, and the 15-year averaged 6.04%.
- The Federal Open Market Committee voted 9–3 to hold the federal funds rate at 3.50–3.75% on July 29, and markets read the dissent as a signal that a September hike is possible.
- Renewed U.S.–Iran hostilities and higher oil prices have raised inflation expectations and pushed long-term Treasury yields up, which lenders use to price mortgages.
- Higher borrowing costs have already reduced demand with mortgage applications falling and refinance activity plunging, while owners with low pandemic-era rates are staying put and limiting listings.
- Freddie Mac’s survey reflects conventional, conforming purchase loans for borrowers with 20% down and strong credit, and forecasters say rates may only ease gradually unless oil prices and inflation move decisively lower.