Mortgage Rates Surge to Two-Month High Following Tariff-Driven Volatility

After a brief dip last week spurred a surge in loan applications, rates have rebounded sharply, reflecting ongoing economic uncertainty tied to tariffs and Treasury yields.

The average 30-year fixed mortgage rate has climbed to 6.93%, its highest level since mid-February, after a rapid rebound from last week's temporary decline.
Mortgage rates closely track 10-year Treasury yields, which have seen significant fluctuations as markets react to President Trump's global tariff announcements.
Last week's brief rate dip led to a 20% spike in mortgage applications, with refinance applications increasing by 35%, marking the highest activity since September 2024.
Experts caution that ongoing tariff uncertainty, stagflation fears, and the Federal Reserve's reluctance to lower rates are likely to sustain volatility in the mortgage market.
State-level disparities in mortgage rates persist, with averages ranging from 6.89% to 7.06%, influenced by regional economic conditions and lender practices.