US 30-year fixed mortgage rates reached 7.49%, up 30 basis points this week as bond yields climbed, Yahoo Finance reporter Claire Boston said. With 20% down on a $400,000 home, she estimated monthly mortgage payments at over $2,200, about $160 more than at 6.75% in late August.
Boston linked the rise to global bond selling. She said investors worried about inflation and thought the Federal Reserve might raise rates soon, while higher 10-year Treasury yields were tracking with mortgage rates. Sales were already weakening before rates rose, she said, and late-year activity is usually slower than spring; she said higher rates could weigh on fall buying and September-October sales figures.
Fannie Mae and Freddie Mac, which Boston said support about 70% of the mortgage market, now require full reviews of condo finances and HOA health, ending a faster limited review for some highly qualified buyers. In the new year, HOAs must put 15% of monthly assessments into reserves, up from 10%. Litigation or structural issues can make a condo “non-warrantable” and prevent regular loans; buyers may need cash or typically costlier non-qualified mortgages, or walk away. Boston said the rules could make purchases harder at the margins, not upend the market.
