US Mortgage Rates Fall Slightly: MBA

The average contract rate for a 30-year fixed mortgage in the US climbed 7 basis points to 6.76% in the week ending July 24, 2026, marking its highest level since August 2025, according to the Mortgage Bankers Association. The increase tracked a rise in Treasury yields as persistent inflation concerns continued to pressure bond markets, reducing expectations for lower borrowing costs in the near term. Mortgage rates have climbed nearly 70 basis points since the US and Israel launched strikes against Iran in late February, as higher oil prices fueled inflation fears. While energy prices eased in June, renewed hostilities have revived expectations that the Federal Reserve will keep interest rates higher for longer. Higher borrowing costs continued to weigh on housing demand. Total mortgage applications fell 6.4% from the previous week, with purchase applications declining 3.6% and refinancing activity dropping 9.9%.

The average contract rate on a 30-year fixed mortgage in the US rose 4 basis points to 6.69% in the week ending July 17, 2026, reaching its highest level since August 22, 2025, according to the Mortgage Bankers Association. The increase followed a rise in Treasury yields, with inflation concerns continuing to weigh on bond markets and limiting the prospect of near-term relief for homebuyers. Mortgage rates have climbed 0.60 percentage points since the US and Israel launched attacks against Iran in late February, which pushed global oil prices higher and added to broader inflation pressures. Although energy prices eased in June on hopes of peace talks, renewed hostilities have reignited concerns that inflation could remain elevated and force the Federal Reserve to keep rates higher for longer. Despite higher borrowing costs, total mortgage applications rose 1.9% after two weeks of declines, with purchase applications up 5.5% while refinancing fell 2.4%.

The average US 30-year fixed mortgage rate for loans of up to $806,500 rose to 6.65% in the week ending July 10, 2026, from 6.58% a week earlier, matching the nine-month high reached in May, according to the Mortgage Bankers Association. The increase reflects a recent rise in US Treasury yields, fueled by persistent inflation concerns and growing expectations that the Federal Reserve could raise interest rates later this year, even as the labor market continues to show signs of gradual cooling. Higher borrowing costs weighed on mortgage demand, with total applications falling 2.7%, a second consecutive weekly decline. Purchase applications dropped 7.3%, signaling softer homebuying activity, while refinancing applications increased 3.5% as some homeowners took advantage of recent market movements.