09/04/2026
Mortgage rates: Highest in more than a year
The 30-year fixed-rate mortgage climbed to a 6.71% national average this week, now well above its 6.50% average a year ago, Freddie Mac reports. As rates rise, more home buyers are turning to adjustable-rate mortgages to secure a lower initial rate and reduce their borrowing costs. ARMs comprised 8% of mortgage applications last week, the highest share in five weeks, according to the Mortgage Bankers Association. ARMs typically offer a fixed interest rate for a five-, seven- or 10-year period before adjusting to current market rates.
Last week, the average contract interest rate for a five-year ARM fell to 5.94%, according to MBA.
Mortgage applications increased 3.6 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending August 7, 2026.