30-Year Mortgage Rate Maintains Steady Climb
Mortgage rates continue to increase after a slight slowdown in the summer months, according to information compiled by Freddie Mac. The 30-year FRM Commitment rate inched up considerably by 20 basis points to 4.83 percent from 4.63 percent in September. The October increase of the 30-year FRM Commitment rate is the highest level since the beginning of 2011.
After increasing the federal funds rate to 2 percent to 2.25 percent at the September Federal Open Market Committee meeting, the Fed remains on track to continue its gradual approach to raising interest rates with a possible rate hike in December.
NAHB economist Danushka Nanayakkara-Skillington provides more details in this Eye on Housing blog post.