11 July 2023
Mortgage rates jumped to over 7% range for conventional 30-year fixed loans last week due to strong economic data. Rates will likely remain high until inflation and economic growth change. The Consumer Price Index (CPI) release on Wednesday will provide more insight, but it will take time for rates to definitively shift. As of July 11, the average 30-year fixed mortgage interest rate is 7.37%, while the 30-year fixed refinance rate is 7.44%. The housing market and job data show mixed trends, while consumer credit remains weaker than expected. The next Fed meeting is on July 26, with a 92.4% chance of a quarter point hike. The following meeting is not until September 20, with a 22.2% chance of a hike and a 5.8% chance of a cut.