The average interest rate on 30-year fixed-rate mortgages in the United States climbed to 6.65% for the week ending July 10, marking the highest level in nearly a year.
The benchmark rate, tracked by Freddie Mac, rose by 7 basis points from the previous week, according to data cited by multiple wire services including Hindu Businessline and La Nacion.
The surge in borrowing costs comes at a time when housing affordability is already strained.
US home prices reached an all-time high in June, even as sales of previously occupied homes slowed.
This divergence between rising valuations and weakening transaction volumes deepens the challenges for prospective buyers, who face both elevated purchase prices and steeper monthly payment obligations.
The recent uptick in mortgage rates has triggered a noticeable pullback in homebuyer demand.