US mortgage rates rise more than 3%; 30 years at 3.02%

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FILE – In this file photo from Thursday, February 18, 2021, a new home is for sale in Madison, Georgia. Mortgage rates crossed the 3% mark this week for the first time in 10 weeks, as the economic recovery from the pandemic recession continues as inflation remains high. Mortgage buyer Freddie Mac reported Friday, June 25, that the 30-year key home loan average fell from 2.93% last week to 3.02%. In contrast, the rate stood at 3.13% a year ago.John Bazemore / AP

WASHINGTON (AP) – Mortgage rates crossed the 3% mark this week for the first time in 10 weeks, as the economic recovery from the pandemic recession continues while inflation remains high.

Mortgage buyer Freddie Mac said the 30-year key home loan average rose to 3.02%, from 2.93% last week. In contrast, the rate stood at 3.13% a year ago.

The rate on a 15-year loan, a popular option among homeowners refinancing their mortgages, jumped to 2.34% from 2.24% last week.

Freddie Mac economists expect mortgage rates to rise gradually in the second half of the year.


A government report showed on Friday that consumer spending was flat in May, but inflation posted a huge gain, with non-food and energy prices rising the most in nearly three decades.

The Federal Reserve signaled last week that it may act sooner than expected to start slowing down low interest rate policies that helped spark a rapid rebound after the recession, but which also coincided with a rise in inflation. Fed Chairman Jay Powell has said the spikes in inflation in recent months are likely to be temporary.

In other economic news, the government announced Thursday that the number of Americans claiming unemployment benefits last week fell by 7,000, to 411,000, a sign that layoffs have declined and the labor market has shrunk. improved. The number of weekly claims for unemployment assistance has fallen steadily this year, from around 900,000 in January.



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