Mortgage Rates , Reach Highest Level , Since 2006.<br />Reuters reports that the United States <br />housing sector continues to feel the impact <br />of tightening financial conditions.<br />According to data from the Mortgage Bankers Association <br />(MBA), interest rates on the most popular home <br />loan have reached their highest level since 2006. .<br />Since the beginning of 2022, <br />mortgage rates have more <br />than doubled in the U.S. .<br />The Federal Reserve has been <br />driving up interest rates in an attempt <br />to combat record-high inflation. .<br />In the week ending October 7, the average <br />contract rate on a 30-year fixed-rate mortgage <br />rose by 6 basis points to reach 6.81%.<br />Meanwhile, the MBA's Market Composite Index dropped 2.0% from one week earlier and is down roughly 69% from the same time in 2021.<br />The MBA's Purchase Index, which measures all <br />mortgage loan applications for the purchase of <br />a single family home, fell 2.1% from a week earlier. .<br />That index is now down 39% <br />from the same time last year. .<br />At the same time, the MBA's <br />refinance Index declined 1.8% <br />and is down 86% from one year ago.<br />Home resale postings have been declining <br />for seven straight months, while home prices <br />have remained in a highly-competitive market.<br />As a result, would-be homebuyers <br />are continuing to face high prices <br />due to a shortage of properties for sale
