Mortgage rates rise for fourth straight week, inching closer to 7%

Published On Jan 9, 2025, 12:16 PM

Mortgage rates have increased for the fourth consecutive week, now approaching 7%. The average rate for a 30-year fixed mortgage rose to 6.93%, compared to 6.91% the previous week and significantly higher than 6.66% a year ago. High home prices and elevated rates are dampening demand in the housing market, particularly affecting first-time homebuyers due to reduced entry-level housing supply.

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As mortgage rates continue to rise, they are likely to dampen housing demand further, potentially leading to a slowdown in home sales. This could negatively impact the companies involved in the housing market, including real estate firms and those in mortgage lending.

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