Long-term mortgage rates are at a 20-year high

If you are thinking of buying a house right now, think twice. The average long-term mortgage rate climbed to more than 7% last week, the highest in 20+ years.

The average mortgage rate in 30-year home loans reached 7.09% from 6.96% recently, per Freddie Mac.

The rates were 5.13% last year and just 2.86% in 2021.

Homeownership has declined among young Americans, especially millennials, due to inflation and other factors. The mortgage rate climb combined with the inventory crunch that pushed prices has made owning a house extremely unaffordable.

The current long-term mortgage rates will add hundreds of dollars to the monthly spending of borrowers in the country.