US Mortgage Rates Hit Highest Since Last November

US mortgage applications decreased last week, while mortgage rates hit their highest level since November 2023, according to a Mortgage Bankers Association (MBA) report released Wednesday.

The market composite index, a measure of mortgage loan application volume, fell 2.7% on a seasonally adjusted basis for the week ending April 19. On an unadjusted basis, the index decreased 2% compared with the previous week.

"Mortgage rates continued to move higher last week, reaching their highest levels since late 2023 and putting a damper on applications activity," Joel Kan, MBA's vice president and deputy chief economist, said in a statement.

The average contract interest rate for a 30-year fixed mortgage rate increased to 7.24% last week, reaching its highest level since November 2023, from 7.13% the previous week.

The average contract interest rate for 15-year fixed-rate mortgages, meanwhile, rose to 6.75% from 6.64%.

"Purchase applications declined, as home buyers delayed their purchase decisions due to strained affordability and low supply," said Kan.

The MBA survey covers more than 75% of US retail residential mortgage applications. -