Iran War Drives US Mortgage Rates to Six-Month High

business interest rates housing market

U.S. mortgage rates have climbed for the third consecutive week, reaching levels not seen since October. The average rate on a 30-year fixed mortgage now stands at 6.43%, with some reporting 6.38%, marking a six-month high.

The increase in borrowing costs comes as rising oil prices, linked to ongoing conflict in the Middle East, fuel inflation concerns. This upward trend is occurring during what is typically a busy spring season for the housing market.

The rise in rates is impacting both homebuyers looking to purchase and those seeking to refinance existing mortgages, potentially weighing on overall housing activity. The recent increases represent the fourth jump since the start of the current conflict.

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