Mortgage rates rose again. Freddie Mac's weekly survey puts the average 30 year fixed rate at 7.40 percent, up from 7.28 percent last week. That is the seventh weekly rise in a row. Since August 20 the average has gone from 6.65 percent to 7.40 percent, a rise of 0.75 percentage points. It is the highest weekly reading since November 2023. The 15 year average rose to 6.73 percent from 6.60 percent. A year ago the 30 year average was 6.30 percent. Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
This time the 10 year Treasury did not climb with them. That is the interest rate on 10 year US government bonds, which mortgage rates tend to follow. It was 5.28 percent on Wednesday, about where it was a week earlier. It stayed close to its highest level since 2002 all week. Mortgage rates do not move in lockstep with it, and this week they kept rising while it held still.
Fewer people applied for mortgages again. Total applications fell 4.2 percent for the week. Applications to buy a home fell 2 percent, and refinance applications fell 8 percent. All three figures are after adjusting for normal seasonal swings.
The Fed did not act this week. On Wednesday it published the written record of its September meeting, the one where it raised its rate. Its rate committee meets next on October 27 and 28. The next big scheduled report is the September inflation report, out Wednesday October 14.
What to do this week if you own a home or are buying one
If you have applied for a mortgage and have not locked your rate, call your loan officer today. Locking means the lender agrees to hold your rate for a set number of days while your loan closes. The average 30 year rate has risen seven weeks in a row, and nobody knows what it does next.
Ask two things on that call. What would it cost to lock today? And if your closing date slips, what would it cost in dollars to extend the lock? Get both answers before you decide.
If you are only shopping, do not treat 7.40 percent as your number. It is a national average for one kind of borrower. That borrower has excellent credit, 20 percent down, and a standard size loan not backed by a government program. Your own rate depends on your credit, your down payment, your loan size, and the property.
To see what a move like this means for you, use the mortgage payment calculator. Run your own loan amount at a rate a lender quoted you. Then run it again three quarters of a percentage point higher, about the size of the rise since August 20.
If you are thinking about using home equity to pay off credit cards, look at both sides. The average card rate was 21.19 percent in August, the newest Federal Reserve reading. But a home equity loan puts that debt on your house. Run your real balances through the blended rate calculator before you talk to anyone.
If you are waiting for rates to come down, that is a real choice. Nobody knows which way they go next. Seven weeks of rises does not promise an eighth, and it does not promise a turn either.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
The week in rates
Source Freddie Mac PMMS national averages, Oct 8 2026, and the 10 year Treasury constant maturity via FRED, series DGS10, Oct 7 2026, the most recent value published. These are published national benchmark and average rates from the sources named above. They are not an offer, not a quote, and not a rate anyone is being offered by anyone, including me.
The 30 and 15 year numbers come from Freddie Mac's weekly survey, which averages the rates on home purchase applications that lenders across the country submit to Freddie Mac. The survey looks at one kind of borrower. That borrower is buying a home with 20 percent down and excellent credit. The loan is not backed by a government program such as FHA or VA, and it is within the standard loan size limit. Your own rate depends on your credit, your down payment, the size of your loan and more. Use these as a read on the market, not as the rate you should expect.
The 10 year Treasury yield is the return investors get on 10 year US government bonds. Mortgage rates tend to rise and fall with it, which is why it is worth watching.
The 10 year Treasury was at 5.28 percent on Wednesday October 7, against 5.29 percent a week earlier, so about flat for the week. It stayed between 5.24 and 5.31 percent every trading day. The 5.31 reading on Monday October 5 was its highest since May 2002.
The prime rate, which home equity lines follow
Source Bank prime loan rate via FRED, series DPRIME, 7.00 percent in the latest value posted, Oct 2 2026, unchanged since it moved from 6.75 percent effective Sep 17 2026. These are published national benchmark and average rates from the sources named above. They are not an offer, not a quote, and not a rate anyone is being offered by anyone, including me.
The prime rate is still 7.00 percent. It went there on September 17, the day after the Federal Reserve raised its own rate, and it has not moved since.
Prime is the rate most large US banks post. Most home equity lines of credit are priced at prime plus an amount the lender sets. So the benchmark under most lines of credit did not change this week. Your own line may still be catching up to the September increase on its own schedule, so read your statement.
A fixed rate home equity loan you already have does not change. Neither does a fixed first mortgage.
The Fed's rate committee next meets October 27 and 28. Prime usually moves only when the Fed moves.
I do not publish an average rate for home equity loans or lines of credit. Each lender prices them differently, and published averages disagree widely depending on the borrower they assume. Prime is one published benchmark, the same at most large banks. The amount your lender adds on top of it still varies, and the only honest way to know your own number is to ask a lender for a written estimate on your actual loan.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
Who applied for mortgages
The Mortgage Bankers Association tracks mortgage applications every week through a survey of lenders. Most of these numbers are shown after adjusting for normal seasonal swings, like slower holiday weeks. That makes one week fairer to compare with the next.
All mortgage applications were down 4.2 percent for the week after adjusting for normal seasonal swings, and down 4 percent before that adjustment. It is the second weekly drop in a row. Adjustable rate loans, where the rate can change after an opening period, held at 10.3 percent of applications, the same as the week before. The association's own average for a 30 year fixed loan rose to 7.49 percent from 7.30 percent, which its deputy chief economist called the highest level in almost three years. That is a different survey from an earlier week, and lately it has run a little higher than Freddie Mac's. Do not compare the two directly.
Applications to buy a home were down 2 percent for the week after adjusting for normal seasonal swings. Before that adjustment they also fell 2 percent, and they were 15 percent below the same week in 2025.
Applications to refinance were down 8 percent for the week and 56 percent below the same week a year ago. Refinances made up 37.0 percent of all applications, down from 38.3 percent. The association's deputy chief economist said very few homeowners have a reason to refinance at these rates.
Source MBA Weekly Applications Survey, week ending Oct 2 2026, released Oct 7 2026, week over week figures are after adjusting for normal seasonal swings unless stated otherwise. The refinance and adjustable rate shares are shares of all applications that week and are not adjusted for seasonal swings, as publicly reported. Any rate or share named in this section is a published national average of applications already taken. These are published national benchmark and average rates from the sources named above. They are not an offer, not a quote, and not a rate anyone is being offered by anyone, including me.
How households are doing
These numbers change slowly. They show how much equity, debt and savings American households have, which shapes what options make sense for a homeowner. Each one shows its own date because they are updated on different schedules.
$11.7 trillion in home equity to borrow against, up about 1 percent from a year earlier
Equity is what a home is worth minus what is still owed on it. Homeowners with a mortgage hold $18 trillion of it in total, up from $17.8 trillion a year earlier. ICE, which tracks mortgage data, counts $11.7 trillion of that as the part homeowners could borrow and still keep 20 percent of their home's value as equity. A year earlier it was $11.6 trillion. So there is a little more to borrow against in total than a year ago. About 47.5 million homeowners with a mortgage have equity they could borrow against, roughly the same number as a year earlier. It is not spread evenly, so your own home's equity depends on its value and what you owe.
ICE Mortgage Monitor, August 2026 and August 2025, as of Q2 2026, compared with Q2 2025
About two thirds of the main mortgages people already have carry a rate under 5 percent
Of the main mortgages people already have, not counting home equity loans or other second loans, 65.6 percent carry a rate under 5 percent and 49.1 percent are under 4 percent. About 22.5 percent, a little more than 1 in 5, carry a rate of 6 percent or higher, up from 20.2 percent a year earlier.
Federal Housing Finance Agency, National Mortgage Database, as of the second quarter of 2026, released September 30 2026, compared with the second quarter of 2025
Homeowners insurance is 9.6 percent of the average monthly mortgage payment
Insurance costs rose 8.7 percent over the past year. That is still an increase, but a slower one. The yearly increase was 11.4 percent at the start of 2026 and peaked at 15.1 percent at the end of 2024. The 1.8 percent rise in the second quarter was the smallest since ICE started tracking it. Homeowners who shopped and switched insurers cut their premiums 6.6 percent, a record. Those who stayed paid 10.4 percent more. The two groups are not alike, so that gap is not a promise of what switching saves you. Insurance ranges from 24.3 percent of the payment in New Orleans to 4.3 percent in San Jose.
ICE Mortgage Monitor, September 2026 edition, as of the second quarter of 2026, in the edition released Sep 10 2026
$1.26 trillion in credit card balances nationwide
This counts every card balance, including people who pay theirs off in full each month, so not all of it is being charged interest.
New York Fed Household Debt and Credit Report, Q2 2026, as of Q2 2026, released Aug 11 2026
21.19 percent average credit card interest rate
The average across all commercial bank credit card accounts, up from 20.94 percent in the May reading and nearly three times the current average 30 year mortgage rate. The real gap is smaller for someone thinking about using home equity to pay off cards, because a second mortgage usually carries a higher rate than a first mortgage.
Federal Reserve G.19, FRED series TERMCBCCALLNS, as of August 2026, released Oct 7 2026
$8,000 is the typical balance in household checking and savings
This is the median, meaning the household in the middle, across checking, savings and money market accounts for households that have them. The average is $62,410, much higher, because a small number of very large balances pull it up.
Federal Reserve Survey of Consumer Finances, as of 2022 survey, the last full survey released
$155,800 average 401k balance, a record
The average across 401k plans Fidelity administers, up 13.1 percent from a year earlier. More people are also taking money out: 3 percent of participants took a hardship withdrawal, meaning they took money out early because of a serious financial need, up from 2.6 percent a year ago. And 19.5 percent have a loan against their 401k.
Fidelity Q2 2026 Retirement Analysis, as of Q2 2026, reported Sep 3 2026
$459 billion owed on home equity lines of credit
Money homeowners have borrowed against their equity with a line of credit, usually a second loan that leaves their main mortgage in place.
New York Fed Household Debt and Credit Report, Q2 2026, as of Q2 2026
55 percent of the equity homeowners took out came through a second loan
Nearly 548,000 homeowners took out a combined $54 billion in equity in the second quarter. About $29.5 billion came through home equity loans and lines of credit, which sit behind the main mortgage and leave it in place. The other $24.3 billion came through cash out refinances, which replace the main mortgage with a bigger one, the strongest quarter for that in nearly four years by ICE's count.
ICE Mortgage Monitor, September 2026 edition, released Sep 10 2026, as of Q2 2026
Every figure above is a published national aggregate from the source named beside it. Any rate shown here, including the credit card average, is a national average and not an offer, a quote, or a rate anyone is being offered.
For loan officers
This part is written for loan officers. If you own a home or are buying one, it is still worth reading, because it shows the kind of conversation a good loan officer should be having with you.
Seven weekly rises in a row means your unlocked clients need a call, with the lock cost in dollars ready
Freddie Mac's national average rose to 7.40 percent this week from 7.28 percent. It has risen every week since August 20, when it was 6.65 percent. The Mortgage Bankers Association's own 30 year average reached 7.49 percent for the week ending October 2, which it called the highest in almost three years.
Clients who have not locked have now watched rates climb for nearly two months. Some will want to wait for relief. That is a fair choice if they make it on purpose. The job is to make sure nobody drifts into it.
So call every client in process who has not locked. Check with your compliance team first on the rules for contacting applicants. Before you dial, know what your company charges to extend a lock. Know whether it offers a float down, which can let a locked loan take a lower rate if pricing improves, under your company's conditions.
Then make it concrete. Run their loan amount in the mortgage payment calculator at the rate they were quoted. Run it again three quarters of a percentage point higher, the size of the move since August 20. Then they decide with a real number in front of them.
The inflation report lands Wednesday October 14 at 8:30 in the morning Eastern. If a client wants to wait past it, write down that they chose to.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
Refinance applications fell 8 percent, so the work is the expensive debt, not the mortgage rate
The Mortgage Bankers Association's deputy chief economist said it plainly this week: "Very few homeowners have an incentive to refinance at these rates." Refinance applications fell 8 percent for the week and were 56 percent below a year ago.
Federal data for the second quarter of 2026 says 65.6 percent of the main mortgages people already have carry a rate under 5 percent. About 22.5 percent carry 6 percent or higher. FHFA does not split that group further, so the data cannot say how many sit above or below Freddie Mac's October 8 national average of 7.40 percent. Only the actual rate on the file tells you.
The real conversation is about card debt. The Federal Reserve's newest reading puts the average credit card rate at 21.19 percent for August, up from 20.94 percent in May. Americans carry $1.26 trillion in card balances, though not all of it is charged interest.
Start with the blended rate calculator using the client's real balances. If the first mortgage rate is well under today's average, it is the cheap money and should stay. Then take a rate from your own pricing and run a second loan through the home equity loan comparison. It shows whether the monthly cost goes down, and the longer debt now tied to the house.
A credit card is not secured by the home. A second mortgage is, and if the payments stop, the lender can foreclose. Some of these talks should end with no new loan.
Before you pull or screen a list of past clients or past applicants, get the list and the wording approved by your compliance team. Screening by credit or debt data brings prescreening rules on top of Do Not Call and email rules.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
One in ten applications is now an adjustable rate loan, so be ready to explain both sides
Adjustable rate loans held at 10.3 percent of all applications for the week ending October 2, the same as the week before, in the Mortgage Bankers Association survey. The week before, the association called that the highest share since October 2025.
The reason is simple. When fixed rates climb, an adjustable loan's lower starting rate looks better. Some buyers will ask you about one this week.
Give them both sides. An adjustable rate stays fixed for an opening period, often five or seven years. After that it can change, usually once a year, based on a market index plus an amount the lender sets. It can go up as well as down, within the limits written into the loan on how far and how fast it can rise.
Compare the two on the same day from your own pricing, with any points shown. Points are upfront charges, each one equal to 1 percent of the loan amount. A lower starting rate that comes with more points may not be the bargain it looks like.
Then ask the question that matters most. How long do they expect to keep this loan? Someone selling in four years carries less risk than someone staying twenty. Someone counting on a refinance later is betting on rates falling, and nobody can promise that.
If they want to see the difference on their own numbers, run both rates through the mortgage payment calculator, then run the adjustable rate again a couple of percentage points higher. That shows what a reset could feel like.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
Buyer applications slipped 2 percent and sit 15 percent below a year ago, so get to your agents with real numbers
Applications to buy a home fell 2 percent last week after adjusting for normal seasonal swings. Before that adjustment they also fell 2 percent, and they were 15 percent below the same week last year.
Your agents have now heard "rates over 7 percent" for three straight weeks. Get to them with three things. Buying applications are down, but buyers are still applying. The 7.40 percent average is a national figure for excellent credit and 20 percent down, not what their buyer will be quoted. And you will rerun any buyer's numbers at today's pricing within a day.
When an agent sends you a buyer, put that buyer's real numbers, including their actual insurance quote, into the affordability calculator with the buyer on the phone. Before you call any past applicants yourself, check with your compliance team, because Do Not Call, telephone consumer protection and commercial email rules can apply.
Insurance matters more than most buyers expect. ICE reported in its September Mortgage Monitor that homeowners insurance is 9.6 percent of the average monthly mortgage payment. It ranges from 24.3 percent in New Orleans to 4.3 percent in San Jose. A buyer who skips the real quote is guessing.
Never show an agent a real borrower's numbers without that borrower's permission.
Every rate named here is a published national average or benchmark from the dated sources on this page. None of them is an offer, a quote, or a rate anyone is being offered.
What to watch next
The big report next week is inflation.
Monday October 12 is Columbus Day, and the bond market is closed.
On Wednesday October 14, the Bureau of Labor Statistics releases the Consumer Price Index for September at 8:30 Eastern. It measures how fast prices are rising. If prices rose faster than expected, rates tend to go up. If they rose slower, rates can ease. The Mortgage Bankers Association releases its weekly application numbers the same morning.
On Thursday October 15, the Census Bureau releases September retail sales at 8:30 Eastern. Freddie Mac's rate survey comes out that day too.
The Fed's rate committee meets again on October 27 and 28.
Loan officers, check your rate sheet before your calls each morning. Rates have moved every week for seven weeks.
Where the numbers come from
Rates are the Freddie Mac Primary Mortgage Market Survey national average, published Oct 8 2026, confirmed on freddiemac.com/pmms and FRED series MORTGAGE30US and MORTGAGE15US. The seven weekly rises, the 0.75 rise from 6.65 percent on Aug 20 2026, and the claim that 7.40 is the highest weekly reading since November 2023 (7.44 on Nov 16 2023) were checked against the full FRED MORTGAGE30US series. The year ago 30 year average of 6.30 percent is Freddie Mac's Oct 9 2025 reading. The 10 year Treasury is the constant maturity yield via FRED, series DGS10, a daily yield rather than a closing price; the claim that 5.31 on Oct 5 2026 is the highest since May 2002 was checked against the full series, where the last reading at or above 5.31 is 5.32 on May 14 2002. The prime rate is FRED series DPRIME, 7.00 percent in the latest posted value, Oct 2 2026. Application figures, the refinance and adjustable shares, the association's 30 year average and its deputy chief economist's comments are the Mortgage Bankers Association weekly survey for the week ending Oct 2 2026, released Oct 7 2026, as reported by the association and HousingWire. The average credit card rate is Federal Reserve G.19 via FRED series TERMCBCCALLNS, August 2026, updated Oct 7 2026. The share of existing mortgages by rate is the Federal Housing Finance Agency National Mortgage Database for the second quarter of 2026, released Sep 30 2026. Insurance figures are the ICE Mortgage Monitor, September 2026 edition. Other household figures are from the New York Fed, the Federal Reserve, ICE and Fidelity, each dated in the list above. The September meeting minutes release and the Oct 27 and 28 meeting dates were checked on the Federal Reserve's meeting calendar. The Sep 2026 retail sales date was checked on the Census Bureau schedule. The Oct 14 inflation report date is the Bureau of Labor Statistics schedule as checked last week and confirmed this week through published release calendars, since bls.gov blocked a direct read. This brief is educational market commentary. It is not an offer of credit, not a quote, not a commitment to lend, and not financial, tax, or legal advice. Figures are national aggregates and say nothing about what any individual borrower qualifies for.