US mortgage rates rose for the third consecutive week, pushing the average rate on a 30-year fixed home loan to its highest level in more than 14 months.The benchmark rate climbed to 6.76% from 6.71% last week, mortgage buyer Freddie Mac said on Thursday, compared with 6.35% a year ago, as cited by AP.Higher mortgage rates can add hundreds of dollars to borrowers’ monthly costs, reducing homebuyers’ purchasing power. Rising rates can also prompt prospective buyers to delay purchases, contributing to largely stagnant US home sales again this year.The average mortgage rate is now at its highest level since June 26, 2025, when it stood at 6.77%.Borrowing costs for 15-year fixed-rate mortgages, which are often used for refinancing, also increased this week. The average rate rose to 6.09% from 6.04% last week, compared with 5.5% a year ago.Mortgage rates are influenced by factors including inflation, Federal Reserve policy decisions and bond market expectations about the economy. They generally move in line with the 10-year Treasury yield, which lenders use as a benchmark for pricing home loans.Mortgage rates and bond yields have mostly risen this year amid the US war with Iran, which has pushed oil prices sharply higher. The resulting concerns over inflation have contributed to higher bond yields.
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