The average rate for a 30-year fixed-rate mortgage climbed to 3.09 percent for the week ending March 18, an increase from the 3.01 percent it averaged last week and a sign that rates are continuing to inch up. The increase is cutting further into home affordability as prices boom.

Sam Khater | Photo credit: Freddie Mac

“As expected, mortgage rates continued to inch up but are still hovering around three percent, keeping interested buyers in the market,” Sam Khater, Freddie Mac’s chief economist, said in a statement. “However, residential construction has declined for two consecutive months and given the very low inventory environment, competition among potential homebuyers is a challenging reality, especially for first-time homebuyers.”

Despite the increase, rates are still far below where they were at this time last year. During the same week in March 2019, the average rate for a 30-year fixed-rate mortgage was 3.65 percent.

The average rate for the 30-year fixed-rate mortgage fell below 3 percent in July 2020, for the first time since Freddie Mac began tracking the data more than 50 years ago.

The 15-year fixed-rate mortgage climbed up to an average of 2.40 percent last week from 2.38 percent the week prior. At this time last year, it averaged 3.06 percent.

The 5-year Treasury-indexed hybrid adjustable-rate mortgage, meanwhile, was up slightly to an average of 2.79 percent. A year ago at this time, it averaged 3.11 percent.

Despite the small uptick, rates still remain historically low and will likely stay that way as the U.S. Federal Reserve signaled Wednesday that target interest rates will stay at zero for the near term.

Email Patrick Kearns

Show Comments Hide Comments
Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Thank you for subscribing to Morning Headlines.
Back to top
Only 3 days left to register for Inman Connect Las Vegas before prices go up! Don't miss the premier event for real estate pros.Register Now ×
Limited Time Offer: Get 1 year of Inman Select for $199SUBSCRIBE×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription