Svmuu reports that U.S. mortgage rates have climbed to their highest level since August last year this week, delivering another blow to homebuyers during what is typically the busiest season for home sales. Mortgage giant Freddie Mac announced on Thursday that the average rate on a 30-year fixed-rate mortgage rose to 6.51% this week, up from 6.36% the previous week.
Additionally, rising costs for home insurance and property taxes in many regions are also deterring potential buyers. The increase in mortgage rates this year has reversed the downward trend seen in the second half of 2025. Despite this, current mortgage rates remain lower than a year ago, and some buyers are entering the market as activity cools. According to data from the Mortgage Bankers Association, mortgage applications for home purchases declined from the previous week but were up 8% year-over-year. (Jin Shi)