Mortgage rates, which are the interest rates on home loans, experienced a significant increase this week, as a result of a robust September jobs report, according to Freddie Mac (FMCC.OB), a prominent mortgage provider.
As of October 10, 2024, the 30-year fixed-rate mortgage averaged 6.32 percent, rising from 6.12 percent the previous week. At the same time last year, this rate stood at 7.57 percent.
Meanwhile, the 15-year fixed-rate mortgage averaged 5.41 percent, an increase from 5.25 percent last week. A year ago, the same rate averaged 6.89 percent.
Sam Khater, Chief Economist at Freddie Mac, commented, "The release of a more robust September jobs report led to the most significant one-week uptick in the 30-year fixed-rate mortgage since April. Nonetheless, it's crucial to consider that this rate hike primarily stems from changing expectations rather than the core economy, which has remained strong for most of the year. Although these higher rates pose challenges for affordability, they signify the economic resilience which should continue to bolster the recovery of the housing market."
