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30.09.202611:07:03UTC+00US Mortgage Rates Hit Highest Level Since Late 2023

The average 30-year fixed mortgage rate climbed 18 basis points to 7.30% in the week ended September 25, its highest level since late November 2023, according to the Mortgage Bankers Association. The move tracked another advance in Treasury yields, with the 10-year note hovering near its highest level since 2007 amid persistent energy-driven inflation, a resilient US economy, and hawkish Federal Reserve messaging that reinforced expectations for additional rate hikes. Futures markets are now pricing in at least one more Fed increase by year-end, while mortgage rates have risen more than 120 basis points since US-Israeli strikes against Iran began in late February. At the same time, total mortgage applications declined 6%, marking a fourth consecutive weekly drop. Refinance applications fell 8.7%, and purchase applications slid 4.3%.

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