Mortgage rates rise after disappointing March inflation report

Mortgage Rates Drift Higher, Indicating Affordability Crisis #

Mortgage rates in the US have risen slightly, suggesting that affordability issues in the country may persist. The average 30-year fixed-rate mortgage reached 6.88% in the week ending April 11, up from 6.82% the previous week. Compared to last year, the average rate has increased significantly from 6.27%. If inflation exceeds expectations, mortgage rates could rise further. The Federal Reserve’s actions indirectly affect mortgage rates, and if inflation remains high, the central bank may avoid reducing interest rates. Economists predict that rates will not drop below 6% this year.