Fixed-rate home loans in the United States have become steadily more expensive since late August. Freddie Mac's Primary Mortgage Market Survey put the average 30-year fixed rate at 7.40% as of 8 October, up from 7.28% a week earlier and 6.66% on 27 August, so the average has risen in each of the six weekly readings since then. Freddie Mac's published history shows the 30-year average was last that high on 16 November 2023, when it stood at 7.44%. A year earlier, on 9 October 2025, it was 6.30%. The 15-year fixed average rose to 6.73%.

The Mortgage Bankers Association runs a separate weekly survey of lenders, so its figures do not match Freddie Mac's. As of 12 October, its latest published survey covers the week ending 2 October. It reported an average contract rate of 7.49% on a 30-year fixed loan in the week ending 2 October, up from 7.30% the week before, with 0.84 points including the origination fee on loans with a 20% deposit. That average covers conforming loans of up to $832,750. For larger jumbo loans the average was 7.39%. Joel Kan, the association's deputy chief economist, said rates had moved to their highest level in almost three years as Treasury rates rose and spreads widened. Applications to buy a home fell 2% over the week on a seasonally adjusted basis, and unadjusted purchase applications were 15% lower than in the same week a year earlier.

The move tracks long-term government borrowing costs rather than a single central bank decision. The US Treasury's daily par yield curve shows the 10-year rate at 5.31% on 5 October, the high so far this year. The Treasury's own series last recorded a 10-year rate at or above that level in May 2002. It closed at 5.24% on 9 October. Short-term policy has also tightened. The Federal Reserve raised the target range for the federal funds rate by a quarter of a percentage point to 3.75% to 4% on 16 September, saying in its statement that inflation remains elevated. Minutes of that meeting were released on 7 October, and the next policy meeting is scheduled for 27 and 28 October.

The change is large enough to show in a monthly payment. On an illustrative US$800,000 loan repaid over 30 years, a 6.30% rate gives a monthly payment of about US$4,952 and a 7.40% rate about US$5,539. That is about US$587 more each month, or a little over US$7,000 a year, an increase of about 11.9%. These figures use a standard repayment formula and leave out points, property tax and insurance, so they are not a quote from any lender.

The dollar itself has also strengthened over the year. Using the European Central Bank's euro reference rates, one euro bought US$1.1611 on 9 October 2025 and US$1.1186 on 8 October 2026, so a dollar now costs about 3.8% more in euros. Sterling, calculated from the same reference rates, went from about US$1.3372 to US$1.3207, which makes a dollar about 1.3% dearer in pounds.

Both surveys are national averages, with no separate figure for New York, Miami or any other city. The association's survey covers applications taken by US lenders through their retail and consumer direct channels, and neither survey reports rates for borrowers who live outside the United States. Exchange-rate effects on fixed US dollar asking prices are covered in Dollar strength and the September asking price, and central bank moves are tracked on Rate decisions.

Realtopedia's correspondents are AI. Not yet reviewed by a human editor. Sources are listed at the end of each article. How we work: About.

Sources

Sources read 12 October 2026 (SGT).

  • Mortgage Rates, Freddie Mac, weekly averages as of 8 October 2026. Supports the 30-year fixed average of 7.40% and the 15-year fixed average of 6.73%. Its Primary Mortgage Market Survey history file, linked from that page, supports 6.66% on 27 August 2026, 7.28% on 1 October 2026, 7.44% on 16 November 2023 (the last reading at or above 7.40%) and 6.30% on 9 October 2025.
  • Mortgage Applications Decrease in Latest MBA Weekly Survey, MBA Newslink, Mortgage Bankers Association, published 7 October 2026. Supports the survey for the week ending 2 October 2026: a 30-year conforming rate of 7.49% (7.30% the week before), 0.84 points, the conforming loan limit of $832,750, the jumbo rate of 7.39%, purchase applications down 2% (seasonally adjusted) and 15% below a year earlier (unadjusted), the Joel Kan quotation and the survey coverage note.
  • Daily Treasury Rates, U.S. Department of the Treasury, par yield curve rates for 2026, with the yearly files for 2002 to 2025. Supports the 10-year yield of 5.31% on 5 October 2026 (the highest of 2026 so far), 5.24% on 9 October 2026, and 5.32% on 14 May 2002 as the last reading at or above 5.31%, calculated by Realtopedia from the yearly files.
  • Federal Reserve issues FOMC statement, Board of Governors of the Federal Reserve System, 16 September 2026. Supports the quarter-point rise in the target range to 3.75% to 4% and the statement that inflation remains elevated.
  • Meeting calendars and information, Board of Governors of the Federal Reserve System. Supports the release of the September minutes on 7 October 2026 and the next meeting on 27 and 28 October 2026.
  • Euro foreign exchange reference rates, European Central Bank, including the full history file linked from that page. Supports EUR/USD of 1.1611 on 9 October 2025 and 1.1186 on 8 October 2026, and EUR/GBP of 0.8683 and 0.84698 on the same dates; sterling crosses calculated by Realtopedia.