U.S. 30-Year Mortgage Rate Rises to 6.49% Amid Renewed Inflation Concerns
Up 0.04 Percentage Points from the Previous Week
Following the Iran war, concerns over inflation have intensified, leading to a rise in U.S. Treasury yields and a subsequent increase in mortgage rates.
According to Bankrate, a rate information provider cited by the Wall Street Journal (WSJ) on the 18th (local time), the average 30-year fixed-rate mortgage in the United States stood at 6.49% as of today, up 0.04 percentage points from a week earlier.
This is similar to the level seen in September last year, when the Federal Reserve, the U.S. central bank, began its three consecutive benchmark rate cuts.
U.S. mortgage rates had been on a downward trend until earlier this year, driven by the effects of the Fed's rate cuts and President Donald Trump's announcement of large-scale mortgage-backed securities (MBS) purchases. However, after the Iran war, a sharp rise in oil prices and a renewed surge in inflation concerns have caused mortgage rates to rebound.
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This is expected to weigh on the U.S. housing market as well. According to the National Association of Realtors (NAR), existing home sales in the U.S. in April totaled 4.02 million units (seasonally adjusted annual rate). Despite the spring peak season, this figure increased by only 0.2% compared to March, when sales hit a nine-month low.
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