The Strategist

Mortgage rates in USA hit their highest since November 2000

10/27/2023 - 03:17

Mortgage rates increased for the seventh consecutive week In the United States, hitting a high not seen since November 2000, according to state mortgage company Freddie Mac.
This week, the average interest rate on 30-year loans increased from 7.63 percent to 7.79 percent annually. A year prior, it was 7.08%.

APRs for fifteen-year loans have increased from 6.92% a week ago to 7.03% a year ago.

Freddie Mac uses information from about 80 mortgage providers nationwide to determine average rates. Potential fees and other charges related to mortgages are not included in the statistics.

Freddie Mac’s senior economist Sam Khater notes that the stretch of rising mortgage costs spanning seven weeks is the longest since last spring.

"Rates have risen 2 full percentage points in 2023 alone, and with Halloween approaching, I'd say the impact could scare potential homebuyers," he stated. "Home affordability is still a significant barrier for many, and buyer activity is essentially nonexistent."