Mortgage Rate Blahs 8/31/26

Summary

The segment focuses on continued US housing market weakness as mortgage rates hover near 7%, close to one-year highs. Kelly Evans attributes the stalled housing turnaround to the unresolved Iran war and a new Fed chair being pressured to raise rates. Diana Olick notes the stark rise from 5.99% in late February to current near-7% 30-year fixed mortgage rates, with the summer market likely wrapping up weak.

• Motivated home sellers are cutting asking prices and some properties are sitting unsold.
• Buyers are waiting for lower prices and lower mortgage rates.
• Mortgage rates briefly dipped below 6% in February.
• The Iran war and Fed chair rate pressure are working against a housing turnaround.
• The US housing market has been in the doldrums for about four years.
• Thirty-year fixed mortgage rates are near a one-year high close to 7%.
• The summer housing market may wrap up at those elevated mortgage rates.