Mortgage rates jump back over 7% as stronger economic data rolls in

The average rate on the 30-year fixed mortgage exceeded 7% for the first time in months. This increase came after positive employment and manufacturing reports. Mortgage rates have been volatile recently, hitting a 20-year high in October before dropping. Rates are influenced by the Federal Reserve’s assessment of the economy. Despite falling rates, home prices remain high due to low supply. 2023 was the worst year for home sales since 1995, but it is predicted that 2024 will be better. It is unlikely that mortgage rates will decrease further.