According to the Primary Mortgage Market Survey® (PMMS®), conducted by Freddie Mac, 30-year fixed-rate mortgage (FRM) has been averaging 5% - Once mortgage rates had topped 5% - it was said to be the HIGHEST in over a decade. As American housing markets are struggling with a historically high inflation, this combination of rising mortgage rates, increased home prices and less abundant inventory are all contributing to stumbling blocks on the mortgage side of the home-ownership affordability.
Just to put this in perspective, "30-year fixed-rate mortgage averaged 5.00 percent with an average 0.8 point as of April 14, 2022, up from the prior week when it averaged 4.72 percent. A year ago at this time, the 30-year FRM averaged 3.04 percent. 15-year fixed-rate mortgage averaged 4.17 percent with an average 0.9 point, up from the prior week when it averaged 3.91 percent." - (as stated in the CLTA news article)
What this could be doing is giving rise to alternative finance options that would be easier to qualify for and it also makes certain buyers/borrowers wait out this period of inflated rates and high housing prices while others are planning to move out from more expensive areas into more modest or more rural / less urban areas in order to save on housing and mortgage expenses. Mortgage Broker Companies and Direct Lenders are now thinking how best to adapt to such markets so that they could still provide good deals to their clients & borrowers.
Freddie Mac survey was focusing on Conventional, Conforming (QM) / Fully-Amortizing home loans for borrowers who had put down at least 20% and had great credit history. Borrowers who are still paying closing costs were not included in the survey research...
News article reference: https://www.clta.org/news/602714/Mortgage-Rates-Hit-5---Highest-in-Over-a-Decade.htm