{"id":21040,"date":"2022-09-19T15:07:40","date_gmt":"2022-09-19T15:07:40","guid":{"rendered":"http:\/\/www.anthonydidonato.net\/wordpress\/?p=21040"},"modified":"2022-09-19T15:07:43","modified_gmt":"2022-09-19T15:07:43","slug":"mortgage-rates-top-6-for-first-time-since-2008","status":"publish","type":"post","link":"http:\/\/www.anthonydidonato.net\/wordpress\/mortgage-rates-top-6-for-first-time-since-2008\/","title":{"rendered":"Mortgage Rates Top 6% for First Time Since 2008"},"content":{"rendered":"\n

Mortgage Rates Top 6% for First Time Since 2008<\/p>\n\n\n\n

The interest rate for the 30-year fixed-rate mortgage crossed a major threshold this week, hitting 6.02%\u2014the first time it has broken 6% since 2008, Freddie Mac reported Thursday. Volatile mortgage rates are sending shockwaves through the housing market and unnerving home buyers who are concerned about shrinking affordability. The 30-year loan averaged just 2.86% a year ago.<\/p>\n\n\n\n

The increased rates have pushed monthly mortgage payments 60% higher year over year, says Nadia Evangelou, senior economist and director of forecasting for the National Association of REALTORS\u00ae. \u201cThere is no doubt that these higher rates hurt housing affordability,\u201d Evangelou writes on the association\u2019s blog<\/a>. Mortgage rates already marked a grim milestone<\/a> when they hit 5.7%, a rate that puts a median-priced home out of reach for the typical household.<\/p>\n\n\n\n

Mortgage rates this week continued to rise alongside higher-than-expected inflation numbers, adds Sam Khater, Freddie Mac\u2019s chief economist. \u201cAlthough the increase in rates will continue to dampen demand and put downward pressure on home prices, inventory remains inadequate,\u201d he says. \u201cThis indicates that while home price declines will likely continue, they should not be large.\u201d<\/p>\n\n\n\n

Further, homeownership may offer a hedge against inflation, Evangelou says. Fixed-rate mortgages are not adjusted to inflation, and home buyers\u2019 monthly payments will remain the same during the loan period. She says that\u2019s important at a time when rents are rising to their highest level in nearly four decades.<\/p>\n\n\n\n

Freddie Mac reports the following national averages with mortgage rates for the week ending Sept. 15:<\/p>\n\n\n\n