Mortgage Rates Jump
The average rate of a 30-year-fixed rate mortgage has jumped to 3.94%, up from 3.57% last week. In the past two weeks, the rate has increased 40 basis points.
But that’s still pretty low. This time last year, a 30-year mortgage was 3.97%.
The higher rate means the monthly payment on a $250,000 home loan with a 20% down payment would be $948 — $42 more than it would have been last week.
The initial bump in mortgage rates last week was more of a knee-jerk reaction to the election results from the market, explained Keith Gumbinger, vice president of HSH.com.