February 27, 2025

According to Freddie Mac’s first Primary Mortgage Market Survey (PMMS) of 2025, the 30-year fixed-rate mortgage (FRM) has risen to 6.91% as of January 2, 2025. This marks the highest mortgage rate in nearly six months. The rate is now approaching the critical seven percent threshold, a level that could impact affordability for many buyers. Higher mortgage rates typically lead to increased monthly payments, making it more challenging for first-time homebuyers to enter the market. Sam Khater, Freddie Mac’s Chief Economist, noted the upward trend. He stated, “Mortgage rates inched up to just shy of seven percent, reaching their highest