Mortgage rates rise to 6.72% as economic strength and political factors influence market

Mortgage rates have increased for five consecutive weeks, reaching 6.72% for a 30-year loan, up from 6.54%. This rise follows a Federal Reserve rate cut in September, which had initially raised hopes for lower mortgage costs. Strong economic data and inflation concerns are influencing investor behavior, leading to higher mortgage rates. Additionally, political factors, including the potential return of Donald Trump to the presidency, are contributing to this trend. As a result, home buyers are facing higher monthly payments. For an $800,000 home, the payment has risen from $3,870 to $4,138 since rates hit a recent low.