U.S. mortgage rates surged this week, with the popular 30-year fixed rate hitting the highest level in more than 21 years, further complicating the housing market outlook.
The average 30-year rate shot up to 7.09%, the highest level since April 2002, from 6.96% in the prior week, mortgage finance agency Freddie Mac said on Thursday. It is nearly 2 percentage points above where it was the same period last year.
The average 15-year rate also jumped to 6.46%. It was up from 6.34% the week prior and was also the highest level since April 2002.
At the same time, the yield on the 10-year Treasury note - which acts as a benchmark for mortgage rates - reached the highest levels in 10 months on Thursday, bolstered by fears that strong U.S. domestic demand could prompt the Federal Reserve to raise interest rates again.... Read More: Reuters