{"id":1275,"date":"2022-09-23T09:14:32","date_gmt":"2022-09-23T09:14:32","guid":{"rendered":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2022\/09\/23\/mortgage-rates-rise-for-fifth-week-in-a-row-hitting-6-29\/"},"modified":"2022-09-23T09:14:32","modified_gmt":"2022-09-23T09:14:32","slug":"mortgage-rates-rise-for-fifth-week-in-a-row-hitting-6-29","status":"publish","type":"post","link":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2022\/09\/23\/mortgage-rates-rise-for-fifth-week-in-a-row-hitting-6-29\/","title":{"rendered":"Mortgage Rates Rise for Fifth Week in a Row, Hitting 6.29%"},"content":{"rendered":"

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BRANDON BELL \/ GETTY IMAGES<\/p>\n

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Mortgage rates rose for the fifth consecutive week, reaching yet again the highest level since the financial crisis.<\/p>\n

The average rate on a 30-year fixed mortgage climbed to 6.29%, according to a survey of lenders released Thursday by\u00a0Freddie Mac. It was the second week in a row that rates topped 6%. The last time rates were this high was October 2008, when the U.S. was deep in recession.<\/p>\n

The sharp rise is another product of the Federal Reserve\u2019s campaign to curb\u00a0decades-high inflation<\/a>. On Wednesday,\u00a0the central bank raised interest rates<\/a>\u00a0for the fifth time this year. Officials indicated that more large increases are on the way even if such moves risk a recession.<\/p>\n

A year ago, mortgage rates were 2.88%.<\/p>\n

Higher rates affect virtually every corner of the economy, but\u00a0their effect on housing is particularly acute<\/a>\u00a0since higher rates can easily add hundreds of dollars to a buyer\u2019s monthly mortgage payments.<\/p>\n

Take a borrower who buys a $500,000 house with a 20% down payment. With a 2.88% mortgage, that person can expect to pay about $200,000 in interest over 30 years for their $400,000 loan, according to a mortgage calculator by Bankrate.com. With a 6.29% mortgage, the borrower could pay more than $490,000 in interest.<\/p>\n

Higher rates have cooled housing significantly. Though home prices continue to notch year-over-year gains,\u00a0prices are falling month-over-month<\/a>. Many would-be buyers\u00a0are getting priced out of homeownership<\/a>. Many homeowners feel stuck in place, since selling would mean taking on a mortgage with a significantly higher rate.<\/p>\n

The national median mortgage payment was $1,839 in August, up 33% from the start of the year, the Mortgage Bankers Association said Thursday.<\/p>\n

Mortgage rates don\u2019t move automatically when the Fed raises its rate. They typically rise or fall in tandem with the benchmark 10-year Treasury yield, but that yield\u00a0is heavily influenced by expectations for Fed rates<\/a>. The 10-year yield this week hit its highest level since 2011.<\/p>\n

The post Mortgage Rates Rise for Fifth Week in a Row, Hitting 6.29%<\/a> appeared first on Real Estate News & Insights | realtor.com\u00ae<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

BRANDON BELL \/ GETTY IMAGES Mortgage rates rose for the fifth consecutive week, reaching yet again the highest level since the financial crisis. The average rate on a 30-year fixed mortgage climbed to 6.29%, according to a survey of lenders released Thursday by\u00a0Freddie Mac. It was the second week in a row that rates topped…Read More→<\/a><\/p>\n","protected":false},"author":0,"featured_media":1276,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1275","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts\/1275","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/comments?post=1275"}],"version-history":[{"count":0,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts\/1275\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media\/1276"}],"wp:attachment":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media?parent=1275"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/categories?post=1275"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/tags?post=1275"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}