US Mortgage Rates Rise for Second Straight Week, 30-Year at 6.75%

Mortgage rates in the US have increased for a second consecutive week, with the average for 30-year, fixed loans rising to 6.75%. This may deter homebuyers, particularly in an already sluggish market. Economists believe a sustained decline in borrowing costs is necessary to boost the market. Despite a bump in listings, high prices remain a challenge. The Federal Reserve is expected to keep its benchmark rate unchanged, with inflation data suggesting tariffs are being passed onto consumers.

Mortgage rates in the United States have increased for a second consecutive week, with the average for 30-year fixed loans rising to 6.75%. This development may further deter homebuyers, who are already facing challenges in an already sluggish market. The rise in mortgage rates, coupled with high prices, presents a significant hurdle for prospective buyers.

According to Freddie Mac, the average rate on a 30-year fixed mortgage rose to 6.75% from 6.72% the previous week. This increase comes amidst a broader economic context where the Federal Reserve is expected to keep its benchmark rate unchanged. The Federal Reserve's decision is influenced by recent inflation data, which suggests that tariffs are being passed onto consumers [3].

The increase in mortgage rates can add hundreds of dollars to monthly payments, making homeownership less affordable for many Americans. This trend is particularly concerning given the recent slowdown in the housing market. Despite a slight increase in listings, high prices remain a significant barrier to entry for first-time buyers.

Economists believe that a sustained decline in borrowing costs is necessary to boost the housing market. The Federal Reserve's pause in rate cuts, coupled with persistent inflation concerns, has contributed to the current mortgage rate environment. However, some analysts predict that the Fed may resume rate cuts by September, which could potentially ease borrowing costs and stimulate the housing market.

In the meantime, homebuyers are advised to lock in their rates if they find a favorable interest rate to avoid potential future increases. Additionally, those considering refinancing should assess whether the potential savings justify the costs and effort involved in the process.

References:
[1] https://www.zillow.com/homeloans/mortgage-rates/
[2] https://www.fingerlakes1.com/2025/07/17/mortgage-rates-today-july-17-2025/
[3] https://finance.yahoo.com/news/average-long-term-us-mortgage-160319455.html