Mortgage rates spike above 7% for the first time this year as the market adjusts to delayed Fed cuts

• The 30-year fixed-rate mortgage just broke 7% for the first time this year, the highest since November 2023.
• Higher-for-longer interest rate outlooks have pushed up borrowing costs, keeping affordability low. 
• Home purchase mortgage applications surged by 5% this week as buyers rushed to get through a narrowing window of opportunity. 

The 30-year fixed-rate mortgage just broke 7% for the first time this year, shooting up from 6.88% to 7.10% this week, according to government-sponsored mortgage finance giant Freddie Mac.

That marks the highest rate since November 2023 and the biggest weekly surge in almost a year.

Meanwhile, the 15-year fixed-rate mortgage spiked to 6.39% from last week's 6.16%, marking a significant uptick from 5.76% a year ago.