Close to 7%! US mortgage rates rise to their highest level since July of last year.

This week, mortgage rates in the United States rose to their highest level since July of last year. Data from Freddie Mac shows that the benchmark 30-year fixed-rate mortgage increased from 6.85% last week to 6.91%. In comparison, the rate was 6.62% at the same time last year. The increase in mortgage costs mainly reflects the rise in bond yields, as lending institutions typically use bond yields as a reference for pricing mortgages. Meanwhile, home prices continue to steadily rise. For homeowners seeking refinancing, the average rate for a 15-year fixed-rate mortgage increased from 6% last week to 6.13%, also reaching its highest level since July. In comparison, the rate was 5.89% at the same time last year. The continued rise in rates is closely related to the Federal Reserve's monetary policy. The Fed stated last month that they expect to raise the benchmark rate only twice this year, which is lower than the four times forecasted in September of last year. However, inflation rates stubbornly remain above the Fed's target of 2%. Additionally, economists are concerned that Trump's economic policies, especially plans to significantly increase import tariffs, may further push up inflation. These factors together have contributed to the increase in mortgage rates, bringing greater economic pressure to homebuyers.