What happened to mortgage rates this week
The 30-year fixed mortgage rate rose 3 basis points this week to 6.09%, reversing part of the recent downward trend. Selling pressure in Treasuries, driven by renewed trade policy uncertainty, pushed long-term yields higher and helped nudge mortgage rates back up. December’s jobs report showed slower hiring but a lower unemployment rate and firmer wage gains, reducing urgency for near-term rate cuts.
What it means for the housing market
Housing activity closed out 2025 on a softer note. Pending home sales fell 9.3 percent month over month in December as limited new listings and still-high prices weighed on buyers. While mortgage rates reached their lowest level of the year in December, affordability remained strained. Inventory recovery continues to diverge by region, with the South and West seeing the most improvement.
Recent policy actions added to volatility. President Trump announced that Fannie Mae and Freddie Mac would purchase $200 billion in mortgage-backed securities, aimed at boosting market liquidity. The announcement contributed to the recent rate declines, although uncertainty around implementation may limit the impact.
A separate executive order outlined a framework to rest
