Interest rates on US mortgages have risen for the fourth week in a row, further approaching 7%. In the US housing market, which has already stagnated, this level may put more pressure on borrowers. Freddie Mac said in a statement on Thursday that the average interest rate for 30-year fixed-rate mortgages rose to 6.95% from 6.76% a week ago. This level is the highest since January 2025. This is compared to 6.26% a year ago. For potential buyers who had hoped that the pressure to buy a home would ease in 2026, mortgage interest rates approaching 7% are disheartening. Moreover, the Federal Reserve raised interest rates by 25 basis points on Wednesday, which indicates that borrowing costs may be difficult to fall back in the short term. The increasing burden of buying a home is becoming a central issue in the upcoming November midterm elections. Although the Trump administration is trying to support the housing market by buying bonds and reducing regulations, the possibility of a rapid improvement in the housing market is becoming less and less likely. “This is nothing, and it's too late,” said Brad Case, Homes.com's chief housing economist. “Voters are unhappy about affordability issues, whether it's buyers, renters, or everyone fueling their cars.” The Intercontinental Exchange estimates that to buy a home with an average price of 440,000 US dollars, the mortgage payment would be equivalent to 31% of the median household income, the highest since July 2025. Meanwhile, homebuilder confidence fell to a one-year low this month.

Interest rates on US mortgages have risen for the fourth week in a row, further approaching 7%. In the US housing market, which has already stagnated, this level may put more pressure on borrowers. Freddie Mac said in a statement on Thursday that the average interest rate for 30-year fixed-rate mortgages rose to 6.95% from 6.76% a week ago. This level is the highest since January 2025. This is compared to 6.26% a year ago. For potential buyers who had hoped that the pressure to buy a home would ease in 2026, mortgage interest rates approaching 7% are disheartening. Moreover, the Federal Reserve raised interest rates by 25 basis points on Wednesday, which indicates that borrowing costs may be difficult to fall back in the short term. The increasing burden of buying a home is becoming a central issue in the upcoming November midterm elections. Although the Trump administration is trying to support the housing market by buying bonds and reducing regulations, the possibility of a rapid improvement in the housing market is becoming less and less likely. “This is nothing, and it's too late,” said Brad Case, Homes.com's chief housing economist. “Voters are unhappy about affordability issues, whether it's buyers, renters, or everyone fueling their cars.” The Intercontinental Exchange estimates that to buy a home with an average price of 440,000 US dollars, the mortgage payment would be equivalent to 31% of the median household income, the highest since July 2025. Meanwhile, homebuilder confidence fell to a one-year low this month.