U.S. 30-year mortgage rate rises to 6.69%, highest in more than a year

The average rate on a 30-year fixed U.S. mortgage rose to 6.69% this week from 6.66% the week before, reaching its highest level in more than a year and extending a climb that has kept affordability strained for many homebuyers. Freddie Mac said the benchmark rate has risen 11 basis points since July 23, when it stood at 6.58%, and was last higher on July 31, 2025, at 6.72%. The 15-year fixed mortgage rate, often used for refinancing, eased to 6.01% from 6.04%, though it remained above 5.75% a year earlier. More frequent daily readings from Mortgage News Daily put the 30-year average at 6.77% on Thursday and the 15-year rate at 6.30%. Mortgage costs have climbed after briefly dipping below 6% in late February. Longer-term borrowing rates have been driven by Treasury yields, inflation concerns and investor demand for mortgage-backed securities rather than moving in lockstep with the Federal Reserve's benchmark rate. The 10-year Treasury yield was hovering near 4.68% early Friday after touching an 18-month high above 4.7% in late July. The latest increase came ahead of the July employment report, a key data point for markets and policymakers. Jeff DerGurahian, chief investment officer and head economist at loanDepot, said a stronger-than-expected jobs report could push rates higher, while a notably weak report, including softer wage growth or higher unemployment, could support bonds and help mortgage rates move lower. Inflation readings due on Aug. 12, Aug. 26 and Sept. 11 will also shape expectations before the Federal Reserve's Sept. 15-16 meeting. Higher borrowing costs are already weighing on housing activity. Mortgage applications fell 2.9% in the latest weekly survey from the Mortgage Bankers Association. Freddie Mac said for-sale inventory has improved and listing prices are modestly below year-ago levels, but financing costs remain the main affordability hurdle.