Mortgage rates above 4% for first time since 2019
Another pre-pandemic metric has returned and looks here to stay: mortgage rates.
- For the first time since May 2019, the 30-year fixed-rate exceeded 4% this week, FreddieMac reported today.
The big picture: While a sharp uptick from a record low of 2.65% last January, the rate is still historically low.
- Also worth noting: The latest average was recorded before the Fed raised interest rates yesterday, but mortgage rates were already on the rise in anticipation.
By the numbers: The median price for a home was $277,000 the last time the 30-year mortgage rate topped 4%, according to the WSJ.
- The rate a year ago was 3.09%. The rate average 3.85% last week.
What to watch: How much impact higher rates might have on demand for homes, which are still at historically low inventory levels.