By Jorge Vazquez
06 Oct 2023, 09:18 AM EDT
Freddie Mac released the results of its Primary Mortgage Market Survey (PMMS), showing that the 30-year fixed-rate mortgage (FRM) averaged 7.49%, representing a new hurdle for Americans looking to own a property .
“Mortgage rates maintained their upward trajectory as the 10-year Treasury yield, a key benchmark, rose,” said Sam Khater, chief economist at Freddie Mac.
“Several factors, including changes in inflation, the labor market and uncertainty around the Federal Reserve’s next move, are contributing to the highest mortgage rates in a generation,” Khater added.
Freddie Mac emphasizes that as expected, this is pushing back demand from homebuyers, as comparing a house or apartment in the United States becomes increasingly unaffordable.
This is how the rates were:
30 year mortgage
30-year fixed-rate mortgages averaged 7.49% as of October 5, 2023, up from last week when they averaged 7.31%. A year ago at this time, the 30-year FRM was averaging 6.66%.
15 year mortgage
15-year fixed-rate mortgages averaged 6.78%, compared to last week when they averaged 6.72%. A year ago at this time, the 15-year MRF averaged at 5.90%.
PMMS focuses on conventional, conforming, fully amortizing home loans for borrowers who make a 20% down payment and have excellent credit.
Keep reading:
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· US mortgage rates are through the roof, at 23-year highs
· Places homebuyers are moving to in the US.