{"id":1719,"date":"2023-02-23T07:37:16","date_gmt":"2023-02-23T07:37:16","guid":{"rendered":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2023\/02\/23\/bad-news-for-home-buyers-mortgage-rates-inch-towards-7-highest-level-in-2023\/"},"modified":"2023-02-23T07:37:16","modified_gmt":"2023-02-23T07:37:16","slug":"bad-news-for-home-buyers-mortgage-rates-inch-towards-7-highest-level-in-2023","status":"publish","type":"post","link":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2023\/02\/23\/bad-news-for-home-buyers-mortgage-rates-inch-towards-7-highest-level-in-2023\/","title":{"rendered":"Bad News for Home Buyers: Mortgage Rates Inch Towards 7%, Highest Level in 2023"},"content":{"rendered":"

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Mortgage rates are back up, hitting a fresh high for the year.<\/p>\n

The average on the 30-year fixed-rate mortgage was 6.87% as of Tuesday afternoon, while the 15-year was at 6.07%, according to Mortgage News Daily.<\/p>\n

Rates are officially at the highest level for the year. But to be clear, rates have been higher\u2014they surpassed the 7% threshold, and reached 7.37% back in October, per MND\u2019s data.<\/p>\n

The jump in rates \u201chas significant impact on payments and affordability, so you have to assume that means fewer buyers in the market,\u201d Mike Simonsen, founder of Altos Research, said in a\u00a0recent YouTube<\/a>\u00a0video.<\/p>\n

Based on the median value of an existing home in the U.S., which was\u00a0$359,000 as of January<\/a>, with 20% down payment, the typical mortgage would cost a would-be homebuyer about $2,300 a month, according to MND\u2019s\u00a0mortgage calculator<\/a>.<\/p>\n

More than two weeks ago, rates went below 6%, to 5.99% on Feb. 2. A buyer at that point would have ended up paying roughly $170 less per month.<\/p>\n

Mortgage rates jumped in the last few days after the U.S. government released the\u00a0inflation report for January<\/a>. The inflation report revealed that the economy was still hot, which prompted the market to expect the Fed to keep raising its benchmark interest rate.<\/p>\n

Buyers could wait even longer to see if rates go down, but the timing will be tricky. \u201cThere is enough pent-up demand competing over relatively few homes to lead to stable or even rising prices in many local markets,\u201d Lisa Sturtevant, chief economist at Bright MLS, wrote in a note last week.<\/p>\n

And so \u201cdue to this pent-up demand, a lot of people will accept that rates above 6% constitute the \u2018new normal\u2019 in the housing market,\u201d she added.<\/p>\n

The post Bad News for Home Buyers: Mortgage Rates Inch Towards 7%, Highest Level in 2023<\/a> appeared first on Real Estate News & Insights | realtor.com\u00ae<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

Getty Images Mortgage rates are back up, hitting a fresh high for the year. The average on the 30-year fixed-rate mortgage was 6.87% as of Tuesday afternoon, while the 15-year was at 6.07%, according to Mortgage News Daily. Rates are officially at the highest level for the year. But to be clear, rates have been…Read More→<\/a><\/p>\n","protected":false},"author":0,"featured_media":1720,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1719","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\/1719","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=1719"}],"version-history":[{"count":0,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts\/1719\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media\/1720"}],"wp:attachment":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media?parent=1719"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/categories?post=1719"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/tags?post=1719"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}