LOS ANGELES (AP) — Prospective homebuyers are facing higher costs to finance a home with the average long-term U.S. mortgage rate moving above 7% this week to its highest level in nearly five months.
The average rate on a 30-year mortgage rose to 7.1% from 6.88% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 6.39%.
When mortgage rates rise, they can add hundreds of dollars a month in costs for borrowers, limiting how much they can afford at a time when the U.S. housing market remains constrained by relatively few homes for sale and rising home prices.
“As rates trend higher, potential homebuyers are deciding whether to buy before rates rise even more or hold off in hopes of decreases later in the year,” said Sam Khater, Freddie Mac’s chief economist. “Last week, purchase applications rose modestly, but it remains unclear how many homebuyers can withstand increasing rates in the future.”
Justice Department ramps up efforts to reduce violent crime with gun intel center
Peony Cultural Tourism Festival Kicks off in Wuding, SW China's Yunnan
Hanfu Lovers Gather in Xixi Wetland in Hangzhou to Celebrate Coming of Spring
China Focus: Martial Arts Growing in Popularity Among Young Chinese
Mariska Hargitay is mistaken for real
China Steadily Improves People's Wellbeing over Past 5 Years: Report
National Library of China Releases Databases for Dissemination, Study of Ancient Books
China Issues Dietary Handbook for Kids with Growth Failure
UN approves an updated cholera vaccine that could help fight a surge in cases
Highlights of 2023 Chinese Table Tennis Super League
Kate Beckinsale sheds light on her recent health woes as she wears 'tummy troubles survivor' T
Spinning Top Competition Held to Celebrate Upcoming Int'l Women's Day in S China's Guangxi