Mortgage Rates Hit A 25-Month High

After two weeks of relatively little movement rates spiked for the week ending February 10th, according to Freddie Mac’s weekly survey…(Freddie Mac)

  • 30-YR FIXED: The average rate jumped a whopping 14 basis points to 3.69%, this is 96 basis points higher than one year ago.
  • 15-YR FIXED: The average rate saw an even bigger 16 basis point jump to 2.93%, this is 74 basis points higher than one year ago.

Sam Khater, Freddie Mac’s Chief Economist, said we are essentially back to pre-pandemic levels…

  • “The normalization of the economy continues as mortgage rates jumped to the highest level since the emergence of the pandemic…Rate increases are expected to continue due to a strong labor market and high inflation, which likely will have an adverse impact on homebuyer demand.”

NOTE: This is the highest rate since January 2nd, 2020 when rates were 3.72%

REMINDER: The Mortgage Bankers Association had the average contract interest rate was up 5 basis points to 3.83%, which is 87 basis points higher than one year ago.

MATTHEW GRAHAM at Mortgage Daily News reported that the daily index a little after noon today averaged 4.02%.