Mortgage Rates Hit 6. 93%, Highest Since July: What's Happening?

You might have heard that mortgage rates were dropping a few weeks ago. Well, that's not the case anymore. The average rate for a 30-year mortgage just hit 6. 93%, the highest it's been since early July. This is a big deal because it's the most common type of home loan in the U. S. Why the sudden jump? It's all about the economy. Mortgage rates often follow the yield on 10-year Treasury bonds. Lately, those yields have been going up because of good economic news and worries about inflation and government spending. Stijn Van Nieuwerburgh, a professor at Columbia University, explained it like this: "The economy is doing better than expected, and inflation is not going down as fast as we hoped. " So, what does this mean for you? If you're thinking about buying a house, you might want to keep an eye on these rates. They can change quickly!