In the last week, U.S. mortgage rates hit their highest levels in seven months. The rates have grown for five straight weeks alongside 10-year Treasury note yields, which have been pushed up by inflation concerns.
For the week ended Thursday, the average rate on a 30-year mortgage rose almost a quarter of a percentage point to 4.83%, the highest level since reaching 4.84% in the week that ended May 20, according to Freddie Mac. Rates bottomed out last month, during the week that ended Nov. 11, at 4.17%. Meanwhile, the 10-year bond yield rate closed at 3.48% Thursday, up from 3.22% a week ago.
The higher mortgage rates may slow the housing recovery. Pending home sales in the U.S. jumped 10% in October from September, but remained 20% less than sales during the year-ago period, the National Association of Realtors said earlier this month.