The 30-Year Fixed-Rate Mortgage Reaches its Highest Level in Over Twenty Years

Rhea-AI Summary

Freddie Mac's Primary Mortgage Market Survey® (PMMS®) reveals that the 30-year fixed-rate mortgage (FRM) averaged 7.09 percent, driven by the improving economy and increased 10-year Treasury yield. Affordability challenges and low inventory continue to impact demand and home sales.

MCLEAN, Va., Aug. 17, 2023 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey^® (PMMS^®), showing the 30-year fixed-rate mortgage (FRM) averaged 7.09 percent.

“The economy continues to do better than expected and the 10-year Treasury yield has moved up, causing mortgage rates to climb,” said Sam Khater, Freddie Mac’s Chief Economist. “The last time the 30-year fixed-rate mortgage exceeded seven percent was last November. Demand has been impacted by affordability headwinds, but low inventory remains the root cause of stalling home sales.”

News Facts

• 30-year fixed-rate mortgage averaged 7.09 percent as of August 17, 2023, up from last week when it averaged 6.96 percent. A year ago at this time, the 30-year FRM averaged 5.13 percent.
• 15-year fixed-rate mortgage averaged 6.46 percent, up from last week when it averaged 6.34 percent. A year ago at this time, the 15-year FRM averaged 4.55 percent.

The PMMS^® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. For more information, view our Frequently Asked Questions.

Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | Twitter | LinkedIn | Facebook | Instagram | YouTube

MEDIA CONTACT:
Angela Waugaman
(703)714-0644
Angela_Waugaman@FreddieMac.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e90b6338-7779-4a1e-80c9-b807653b5b26

FAQ

What is the average rate for a 30-year fixed-rate mortgage according to Freddie Mac's PMMS®?

According to Freddie Mac's PMMS®, the average rate for a 30-year fixed-rate mortgage is 7.09 percent.

What factors have caused mortgage rates to climb?

Mortgage rates have climbed due to the better-than-expected economy and the increase in the 10-year Treasury yield.

What was the average rate for a 30-year FRM a year ago?

A year ago, the average rate for a 30-year FRM was 5.13 percent.

What is the focus of PMMS®?

PMMS® focuses on conventional, conforming, fully amortizing home purchase loans for borrowers with 20 percent down payment and excellent credit.

What is Freddie Mac's mission?

Freddie Mac's mission is to make home possible for families by promoting liquidity, stability, affordability, and equity in the housing market.