The Freddie Mac 30-year fixed rate mortgage averaged 4.58% last week, increasing for the third consecutive week, this tine by 9 basis points from the week prior’s level of 4.47 percent. They are now at the highest level since week of August 22,2013. According to Sam Khater, Freddie Mac chief economist:
“Mortgage rates are now at their highest level since the week of August 22, 2013,” he said. “Higher Treasury yields, driven by rising commodity prices, more Treasury issuances and the steady stream of solid economic news, are behind the uptick in rates over the past week.”
Added Khater, “Despite the increase in borrowing costs, demand for home purchase credit remains solid. The Mortgage Bankers Association reported in their latest mortgage applications survey that activity was up 11 percent from a year ago.”