Baby boomers aren’t ready to give up their low or non-existent mortgage rates, but as they age their homeownership rates will decline, bringing more supply onto the market.
The average long-term U.S. mortgage rate rose for the fourth consecutive week, another setback for prospective homebuyers just as the spring homebuying season gets going. The average rate on a 30-year mortgage rose to 6.94% from 6.90% last week, mortgage buyer Freddie Mac said Thursday. When mortgage rates rise, they can add hundreds of dollars a month in costs for borrowers, limiting how much they can afford in a market already out of reach for many Americans.
Mortgage rates climbed for the fourth week in a row, inching closer to 7% just as peak homebuying season gets underway.