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US mortgage rates reach 6.71% as economists warn of potential return to 7%

Yield increases in the bond market and inflation pressures drive borrowing costs to a 13-month high.

The short version

  • The average 30-year fixed mortgage rate climbed to 6.71%, reaching its highest level in 13 months according to Freddie Mac.[CBS News]
  • Rising borrowing costs have tracked a climb in the 10-year Treasury yield from 4.08% to 4.77% over six months amid bond market volatility.[CBS News]
  • Multiple lending specialists report that some prospective homebuyers are already receiving loan quotes exceeding 7%.[CBS News]
  • Economists expect mortgage expenses will face upward pressure in the near term as financial markets anticipate potential Federal Reserve policy tightening.[CBS News]

Key facts

  • Freddie Mac reported the average 30-year fixed-rate mortgage reached 6.71%, the highest level in 13 months.[CBS News]
  • The 10-year Treasury yield climbed from 4.08% to 4.77% across a six-month span.[CBS News]
  • Average 30-year mortgage rates previously hit the 7% threshold in January 2025.[CBS News]
  • NerdWallet reported that roughly half of observed lender quotes have already moved above 7%.[CBS News]

What remains uncertain

  • Economists hold differing outlooks on whether benchmark average rates will officially exceed 7% or merely stay elevated in the near term.[CBS News]

Sources

Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.