Mortgage rates in the United States have hit the highest level in six months while loan applications and home sales are declining.
The average 30-year fixed-rate mortgage rate hit 7.12 percent on May 25, according to a May 25 post by Mortgage Daily News (MDN). The previous high of 7.10 percent was hit on March 2. This is also the highest rate since Nov. 9, 2022. Over the past year, the mortgage rate has jumped from 5.36 percent to 7.12 percent, once more putting downward pressure on the volume of mortgage applications.
According to the Mortgage Bankers Association (MBA), loan application volume fell by 4.6 percent for the week ending May 19 from the previous week. MBA Vice President Joel Kan blames the decline on borrowers remaining “sensitive to higher rates,” according to a May 24 news release….