LOS ANGELES (AP) — Prospective homebuyers are facing higher costs to finance a home with the average long-term U.S. mortgage rate moving above 7% this week to its highest level in nearly five months. The average rate on a 30-year mortgage rose to 7.1% from 6.88% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 6.39%. When mortgage rates rise, they can add hundreds of dollars a month in costs for borrowers, limiting how much they can afford at a time when the U.S. housing market remains constrained by relatively few homes for sale and rising home prices. “As rates trend higher, potential homebuyers are deciding whether to buy before rates rise even more or hold off in hopes of decreases later in the year,” said Sam Khater, Freddie Mac’s chief economist. “Last week, purchase applications rose modestly, but it remains unclear how many homebuyers can withstand increasing rates in the future.” |
Taylor Swift's father Scott Swift allegedly punched Sydney paparazzo in faceChocolate: Cocoa price hits record high as El Niño hurts cropsWellington water: Funding problems creating 'extreme residual risks'Motor racing Jos Verstappen's outburst raises big questions for Red BullPerson seriously injured, another dead after Browns Bay assaultEDITORIAL: Hong Kong’s security ordinance will strangle city’s society, economy100 days since Hamas attacked Israel, triggering war in GazaGhana passes bill making identifying as LGBTQ+ illegalSnake entangled in fridge ice dispenser spotted by resident who thought hissing was air compressorMedia minister Melissa Lee says interviews would have been 'boring'