Mortgage Rates Rise Again, Nearing The 7% Mark

The 30-year fixed-rate mortgage averaged 6.87% as of March 21, according to the Primary Mortgage Market Survey published by Freddie Mac (OTCQB: FMCC). Last week, the mortgage rate averaged 6.74%; one year ago at this time, it was at 6.42%.

The 15-year fixed-rate mortgage averaged 6.21%, up from last week when it averaged 6.16%. A year ago at this time, it averaged 5.68%.

“After decreasing for a couple of weeks, mortgage rates are once again on the upswing,” said Sam Khater, Freddie Mac’s chief economist. “As the spring homebuying season gets underway, existing home inventory has increased slightly and new home construction has picked up. Despite elevated rates, homebuilders are displaying renewed confidence in the housing market, focusing on the fact that there is a good amount of pent-up demand, an ongoing supply shortage and expectations that the Federal Reserve will cut rates later in the year.”