Freddie Mac reports a surge in the 30-year fixed mortgage rate to a 25-week high of 5.29 percent during the week ended June 4, up from 4.91 percent the prior week. This is the second straight week of significant rate jumps, up almost 10 percent in just 2 weeks. It appears that the refinance window may have closed.
The 15-year fixed rate also increased, rising to 4.79 percent from 4.53 percent, with Freddie Mac chief economist Frank Nothaft indicating that the gains follow a surge in long-term bond yields. Meanwhile, the five-year adjustable mortgage rate climbed to 4.85 percent from 4.82 percent; and the one-year ARM surged to 4.81 percent from 4.69 percent. The surging mortgage rates have led to a significant decrease in the number of new mortgage applications in the Nashville area.