The 30-year fixed-rate mortgage hit 3.10%, up 12 basis points from 2.98% the week prior, according to Freddie Mac. A year ago at this time, the average 30-year fixed-rate loan averaged just 2.72%.
The combination of rising inflation and consumer spending is driving mortgage rates higher said Sam Khater, Freddie Mac’s chief economist. “Shoppers looking to buy a home are fueling strong demand while ongoing inventory shortages are not improving in the presence of higher home prices,” he said in a statement.
Mortgage rates tend to move in concert with the 10-year Treasury yield, which reached 2% on Nov. 15, up from 1.89% a week before.
*30-year Fixed: Averaged 3.10%, up from last week when it averaged 2.98%. A year ago at this time, the 30-year FRM averaged 2.72%.
*15-year Fixed: Averaged 2.39%, up from last week when it averaged 2.27%. A year ago at this time, the 15-year FRM averaged 2.28%.
*5-year Adjustable Rate Mortgage (ARM): Averaged 2.49%, down from last week when it averaged 2.53%. A year ago at this time, the 5-year ARM averaged 2.85%.