US mortgage rates hit their highest level in three years

Rising borrowing costs have pushed mortgage applications to lowest level since February 2025.Published On 7 Oct 20267 Oct 2026Mortgage rates in the United States have hit their highest level in nearly three years, as cost-of-living concerns weigh on Americans less than a month before the midterm elections.The average cost for a 30-year fixed-rate mortgage jumped 19 basis points to 7.49 percent for the week ending October 2 , according to the Mortgage Bankers Association’s weekly report released on Wednesday.Recommended Stories list of 4 itemslist 1 of 4Benchmark US government bond yield hits 19-year peak as oil prices surgelist 2 of 4US Fed raises interest rates for first time in three yearslist 3 of 4What to know about US Federal Reserve’s first interest rate hike in 3 yearslist 4 of 4Australia raises interest rates to 15-year highend of listMeanwhile, applications for mortgages tumbled 4.2 percent from the previous week, according to the report. Applications are at their lowest level since February 2025 and have fallen by almost half since the beginning of the year.“Very few homeowners have an incentive to refinance at these rates, and the jump in borrowing costs has caused many ...