Mortgage Rates Top 7 Percent

The 30-year fixed-rate mortgage averaged 7.08 percent this week, up from 6.94 percent the week before, according to Freddie Mac. This is high highest rate since 2002 and more than double the rate a year ago.  Mortgage rates have risen nearly every week since August, the rapid rise driven by the Federal Reserve’s campaign of rising rates to tame inflation.

“As inflation endures, consumers are seeing higher costs at every turn, causing further declines in consumer confidence this month,” explained Sam Khater, Freddie Mac chief economist. “Many potential homebuyers are choosing to wait and see where the housing market will end up, pushing demand and home prices further downward.”