US fixed 30-year mortgage rate hits three-month high amid Iran war

Wait 5 sec.

The average rate on the popular U.S. 30-year fixed-rate mortgage ​surged to a three-month high ‌this week as war in the Middle East stoked inflation fears, dealing a blow ​to the Trump administration’s efforts ​to make housing more affordable.The 30-year ⁠fixed mortgage rate averaged 6.22%, highest ​since early December, up from 6.11% ​last week, mortgage finance agency Freddie Mac said on Thursday. Rising mortgage rates, if sustained, ​could hamper home sales during ​the typically busy spring season.The benchmark rate fell ‌to ⁠5.98% on the eve of the U.S.-Israeli war with Iran after President Donald Trump ordered Freddie Mac and ​Fannie Mae ​to expand ⁠purchases of mortgage-backed securities.It reversed course as the conflict ​drove up oil prices and ​U.S. ⁠Treasury yields. Mortgage rates track the benchmark 10-year Treasury yield. Housing affordability ⁠has ​become an increasingly potent ​political issue ahead of the November midterm elections.