U.S. Mortgage Rate Jumps to Highest Level Since 2002

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Mortgage rates jumped to a 21-year high this week, climbing back above 7 percent and making it even harder for buyers to afford homes in an already difficult market. The average 30-year fixed-rate mortgage — the most popular home loan in the United States — was 7.09 percent, up from 6.96 percent last week, Freddie Mac said on Thursday. The current rate is the highest since April 2002. In the intervening period, home buyers enjoyed years of falling rates, which even dipped below 3 percent at the beginning of the pandemic. But as rates abruptly surged, the housing market has been mired as owners are unwilling to put their homes on the market because they feel locked in by the low rates on their existing mortgages.

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