Overview
- Freddie Mac reported Thursday that the 30-year fixed mortgage averaged 6.49% and the 15-year averaged 5.84%.
- Rates have hovered in the mid-6% range for roughly six consecutive weeks, signaling short-term stability after spring volatility.
- Bond markets reacted to higher inflation readings and Gulf shipping threats, and mortgage pricing continues to track the 10-year Treasury yield.
- Higher borrowing costs are slicing buyers' purchasing power by hundreds of dollars a month, cooling purchase activity even as refinance demand has risen.
- Economists and lenders say rates could stay above 6% for an extended period, and market watchers are watching incoming PCE, jobs data, and Fed comments for a change in direction.