Mortgage Rates Today California

California Mortgage Rates Reach New Highs

As of Tuesday, July 30, 2024

30-Year Fixed Mortgages Now at 7.14%

As of Tuesday, July 30, 2024, mortgage rates in California have reached their highest levels in over a decade. According to data from Freddie Mac, the average interest rate for a 30-year fixed mortgage in California is now 7.14%, up from 6.99% last week. This is significantly higher than the national average of 5.51%.

The increase in mortgage rates in California is being attributed to a number of factors, including the Federal Reserve's decision to raise interest rates and the state's strong economy. The Federal Reserve has raised interest rates three times this year in an effort to combat inflation. As a result, mortgage rates have risen across the country.

In addition to the Federal Reserve's decision to raise interest rates, California's strong economy is also contributing to the increase in mortgage rates. The state's low unemployment rate and high demand for housing are making it more difficult for buyers to find affordable homes. As a result, buyers are willing to pay more for mortgages in order to secure a home.

The increase in mortgage rates is expected to have a significant impact on the California housing market. It is likely to make it more difficult for buyers to afford homes, which could lead to a decrease in demand. This could, in turn, lead to a decrease in home prices.