Mortgage rates are at their highest levels since April 2011.
According to the latest data released Thursday by Freddie Mac, the 30-year fixed-rate average jumped to 4.90 percent with an average 0.5 point. (Points are fees paid to a lender equal to 1 percent of the loan amount.) The 19-basis-point jump (a basis point is 0.01 percentage point) was the largest one-week spike in the 30-year rate since November 2016, when it increased 37 basis points. The 30-year fixed rate was 4.71 percent a week ago and 3.91 percent a year ago.
The 15-year fixed-rate average climbed to 4.29 percent with an average 0.5 point. It was 4.15 percent a week ago and 3.21 percent a year ago. The five-year adjustable rate average rose to 4.07 percent with an average 0.3 point. It was 4.01 percent a week ago and 3.16 percent a year ago.
“Strong employment and payroll data releases met analysts’ expectations, providing more evidence of a booming U.S. economy,” said Aaron Terrazas, senior economist at Zillow. “Markets tend to move in fits and spurts, with sharp movements often followed by brief retreats, as we’ve seen over the past few days. But there is no doubt that the trend is decisively higher, and comments from several Fed officials bolstered the notion that the American economy can withstand higher rates.”
Read more in the Washington Post.