US Mortgage Rates Continue Upward Trend, Weighing on Housing Affordability
A new survey revealed that U.S. mortgage rates continue to rise as interest rates adjust in response to stronger-than-expected economic growth.
According to Freddie Mac’s Primary Mortgage Market Survey (PMMS), the 30-year fixed-rate mortgage (FRM) averaged 6.5 percent for the week ending Feb. 23, up 18 basis points from 6.32 percent in the previous week. At the same time a year ago, the 30-year FRM averaged 3.89 percent.
The 15-year FRM averaged 5.76 percent, up 25 basis points from the average of 5.51 percent a week ago. Last year, the 15-year FRM averaged 3.14 percent.
Homebuyers who purchased a $500,000 home with a 6.5 percent 30-year FRM with a 20 percent down payment would have a monthly cost of $2,528. This is up from $1,884 a year ago….