U.S. mortgage rates climb for fifth-consecutive week

U.S. mortgage rates again jumped this week and now stand among their highest in the past 25 years, according to Freddie Mac.

Freddie Mac reports the 30-year fixed mortgage rate averaged 7.57% for the week ending Oct. 12 — up from 7.49% last week. A year ago, mortgage rates averaged 6.92%.

Mortgage rates factor into home sales and the refinance market and soaring rates are impacting housing-related activity.

“For the fifth consecutive week, mortgage rates rose as ongoing market and geopolitical uncertainty continues to increase,” said Sam Khater, Freddie Mac’s chief economist. “The good news is that the economy and incomes continue to grow at a solid pace, but the housing market remains fraught with significant affordability constraints. As a result, purchase demand remains at a three-decade low.”

Dayton-area home sales have been plunging in recent months. Local home and condo transactions fell precipitously in August.

Despite the surging mortgage rates, more housing is planned for the Dayton region. For example, a major local home builder plans a $50 million housing project in Springboro.

Plus, a residential project near Wright-Patterson Air Force Base has been proposed.

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