Mortgage Rates Soar Past 7%, Crippling Housing Market Amidst Tariff Chaos
Thirty-year fixed mortgage rates jumped to 7.1%, a mid-February high, driven by fluctuating bond yields influenced by tariff changes and a cooler-than-expected inflation report. This surge follows a volatile week for bonds, marking potentially the worst week for 10-year yields since 1981, coinciding with a significant drop in consumer sentiment. The increased rates, coupled with economic uncertainty, negatively impact the crucial spring housing market and consumer confidence. Experts predict weakened housing activity as a result of these factors.
John Q. Hosedrinker