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Weekly Mortgage Rate Update
Mortgage rates climbed this week, according to Freddie Mac's latest Primary Mortgage Market Survey released Thursday. The benchmark 30-year fixed mortgage rate increased to 6.11% from last week's 6%. One year ago, the average stood at 6.65%.
The average rate on a 15-year fixed mortgage also rose, reaching 5.5% compared to 5.43% the prior week.
Despite the modest uptick, buyers are responding to rates in this range, with existing-home sales increasing 1.7% in February. Purchase applications also increased this week, a welcome sign as buyers enter spring homebuying season with rates down more than half a percentage point compared to the same time last year.
Influencing Factors
Mortgage rates are influenced by multiple factors, including the Federal Reserve and geopolitical events. While not directly tied to the Fed's interest rate decisions, they closely follow the 10-year Treasury yield, which stood around 4.23% as of Thursday afternoon. Rising oil prices, driven by the war in Iran, contributed to this stability.
