Mortgage Rates Continues To Rise, Up For 6th Consecutive Week

(RTTNews) - Mortgage rates, or interest rates on home loans, increased for a sixth consecutive week and have reached near 8% mark, according to mortgage provider Freddie Mac (FMCC.OB).

Releasing the results of its primary mortgage market survey, Freddie Mac said that the 30-year fixed-rate mortgage averaged 7.63 percent as of October 19, 2023, compared to last week when it averaged 7.57 percent. A year ago at this time, the 30-year FRM averaged 6.94 percent.

The 15-year fixed-rate mortgage averaged 6.92 percent, up from last week when it averaged 6.89 percent. A year ago at this time, the 15-year FRM averaged 6.23 percent.

"Mortgage rates continued to approach eight percent this week, further impacting affordability," said Sam Khater, Freddie Mac's Chief Economist. "In this environment, it's important that borrowers shop around with multiple lenders for the best mortgage rate. With research showing down payment is the single largest barrier to first-time homebuyers attaining homeownership, borrowers should also ask their lender about down payment assistance."

Khater continued, "Not only are homebuyers feeling the impact of rising rates, but home builders are as well. Incoming data shows that the construction of new homes rebounded in September but as rates keep rising, home builders appear to be losing confidence. As a result, we expect construction to trend down in the short-term."