Overview
- The 30-year fixed mortgage averaged 6.53% in the week ending May 28, the highest weekly reading since August 2025, according to Freddie Mac.
- Daily lender quotes around May 29 showed purchase rates near 6.59% and refinance rates near 6.675%, per Zillow data reported by U.S. News and WTOP.
- Mortgage applications fell after the recent rise in rates, with the Mortgage Bankers Association reporting an 8.5% week-over-week drop in total applications and an 18% fall in refinance requests.
- Refinances now make up about 38% of applications and smaller-balance and first-time buyers have pulled back, pushing the average purchase loan size to a record about $473,600 and raising monthly costs for many households.
- The rise in rates follows higher oil prices and inflation that lifted Treasury yields, but pending home sales have climbed for three months and Freddie Mac says buyers could return quickly if rates move lower; long-run median mortgage rates sit near 7.24% for historical context.