The average long-term U.S. mortgage rate has climbed to its highest level since late November, posing challenges for homebuyers during the peak season for real estate transactions. According to Freddie Mac, the average rate on a 30-year mortgage increased to 7.17% from 7.1% last week and 6.43% a year ago. Similarly, 15-year fixed-rate mortgages rose to 6.44% from 6.39% last week and 5.71% a year ago.
Rising mortgage rates can significantly impact borrowers, adding hundreds of dollars to their monthly costs and limiting their purchasing power. This trend comes at a time when the housing market is already constrained by low inventory and escalating home prices.
