With small jumps almost daily mortgage interest rates have risen back up to levels last seen in July. We’ve gone from being fairly close to 6.0% in mid-September for a 30 year fixed mortgage interest rate, to being nearly as close to 7.0% today.
Why is this happening? It all started after the Fed lowered their benchmark interest rate. Their verbiage of not being as aggressive with rate cuts in the future got the ball rolling for higher mortgage rates and it hasn’t stopped it’s downhill roll. Other things like shifting election odds coupled with assumptions about policy impacts and one of several research notes regarding U.S. deficits have probably also been to blame.
Explanations aside, the past month has been one of the bigger jumps seen in a while.
