Happy Friday!
Here’s a quick market update heading into the weekend (don’t shoot the messenger):
Average Mortgage Rates Today
- 30-Year Fixed: 7.49%
- 30-Year Jumbo: 7.55%
- 30-Year FHA: 7.17%
- 7/6 SOFR ARM: 6.85%
Mortgage Rates Rise Sharply
Mortgage rates have climbed more than half a percentage point in just two weeks—an unusually fast move. The average 30-year fixed rate is now just under 7.5%.
Why Rates Moved
Recent inflation reports, higher oil prices, stronger economic data, and Fed comments have raised concerns that interest rates could stay higher or rise further. That has put pressure on the bond market, which mortgage rates tend to follow. Heavy bond selling on Thursday added to the jump, even though there wasn’t one clear piece of news behind that day’s move.
My Takeaway
It’s been a frustrating stretch for buyers watching their monthly payment. A change in rates may affect their comfort level, but price negotiations and seller credits are more prominent in conversations than ever.
-Luke Zender, Loan Officer, Evergreen Home Loans
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