Mortgage Rates Rise, Reversing Recent Trend

Mortgage rates, which have been inching down over the last several weeks, rose this week. The average interest rate on 30-year, fixed-rate mortgages climbed to 8.22% for the week ending June 29, up from 8.14% the previous week, according to a survey by Freddie Mac, the mortgage company. The 30-year mortgage rate hit a five-year high of 8.64% in mid-May. Fifteen-year mortgages, a popular option for refinancing, rose to 7.92% this week, up from 7.85% the previous week. On one-year, adjustable-rate mortgages, lenders were asking an average initial rate of 7.26% this week, up from last week’s rate of 7.22%. The rates do not include points. Separately, the Mortgage Bankers Assn. of America said mortgage loan applications for the week ending June 23 fell 10.9% from the same period a year ago.