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Mortgage rates reached their highest level in five months this week, ending the year slightly higher than they began.
freddie mac’s latest Primary Mortgage Market Survey, Released on Thursday, showed that the average rate on the benchmark 30-year fixed mortgage The reading rose to 6.85% from 6.72% last week. A year ago the average rate on a 30-year loan was 6.61%.
This week’s increase marks the highest level on a 30-year loan since mid-July, when the rate was 6.89%, according to Freddie Mac data. This was the lowest rate this year 6.08% at the end of September, While the highest – 7.22% – was reached in early May.
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A “for sale” sign is seen on a home in Philadelphia on August 16. (Via Joe Lamberti/Bloomberg/Getty Images)
“Mortgage rates rose for the second consecutive week, rising again after declining earlier this month,” said Sam Khater, chief economist at Freddie Mac. “Although there has been a slight improvement in New and existing home sales Encouragingly, the market is plagued by an extremely low supply of homes. “A stronger economy could help build momentum and potentially boost purchasing activity in the new year.”
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The average rate on a 15-year fixed mortgage rose to 5.92% from 5.84% last week. A year ago, the rate on a 15-year fixed note averaged 5.95%.
