Mortgage rates soared to their highest levels since 2008 this week as the 30-year fixed rate – the most popular home loan product – continued its dramatic ascent, rising three percentage points in one year.
According to the latest data released Thursday by Freddie Mac, the 30-year fixed-rate average shot up to 5.89 percent with an average 0.7 points. (A point is a fee paid to a lender equal to 1 percent of the loan amount. It is in addition to the interest rate.) It was 5.66 percent a week ago and 2.88 percent a year ago.