US Mortgage News Today: Rates Near 7%

September 24, 2026 | U.S. Mortgage & Real Estate Market Update

Today’s US mortgage news today update comes as mortgage rates move back toward the 7% range, mortgage applications remain under pressure, and housing inventory continues to provide buyers with more options. At the same time, Treasury yields have been moving higher, adding another factor for borrowers and real estate investors to monitor.

The latest national rate data varies by source and methodology. Mortgage Research Center data reported by Fortune shows the average 30-year conforming mortgage rate at 7.111% on September 24, while Zillow’s lender marketplace reported a 6.98% 30-year purchase rate. These figures are market averages rather than individual loan offers.

US Mortgage News Today: Rates Approach 7%

The latest available Freddie Mac weekly survey showed the 30-year fixed-rate mortgage averaging 6.95% as of September 17, up from 6.76% one week earlier. The 15-year fixed mortgage averaged 6.26%, compared with 6.09% the prior week.

More recent daily market data indicate that mortgage pricing has continued to fluctuate around the 7% level.

For borrowers, this means the monthly payment can vary significantly depending on the loan amount, interest rate, down payment, property type, credit profile and other underwriting factors.

For investors, the headline rate is only one part of the financing equation. Cash required to close, leverage, debt-service coverage, property expenses, points, prepayment terms and the planned exit strategy can all affect the economics of a transaction.

Mortgage Applications Decline

The Mortgage Bankers Association reported on September 23 that total mortgage applications decreased 1.5% for the week ending September 18, 2026.

The Purchase Index declined 1% on a seasonally adjusted basis, while the Refinance Index declined 3%. Refinance activity was 62% lower than the same week one year earlier.

The average contract rate for a 30-year conforming mortgage increased to 7.12%, from 6.97% the previous week. The average jumbo mortgage rate increased to 7.15%.

One notable development was increased ARM activity. The adjustable-rate mortgage share reached 9.8% of total applications, according to MBA data, as some borrowers considered adjustable-rate products while fixed rates were higher.

Borrowers considering an ARM should evaluate the initial rate, adjustment schedule, caps, index and margin, as well as their expected holding period.

Existing-Home Sales Remain Below 4 Million

The latest National Association of REALTORS® data show that existing-home sales fell 2.0% month over month in August to a seasonally adjusted annual rate of 3.98 million.

Sales were also 1.2% lower than August 2025.

At the same time, housing inventory increased.

There were approximately 1.62 million existing homes available for sale in August, up 3.2% from July and 5.9% from a year earlier. That represented approximately 4.9 months of supply, the highest level in more than a decade, according to NAR.

The median existing-home price was $429,100, up 1.6% from August 2025.

The combination of higher inventory and slower sales is giving some buyers more opportunities to negotiate, although financing costs remain an important consideration.

Pending Home Sales Show a Mixed Market

Pending home sales increased 0.3% in August from July, but remained 4.7% below August 2025, according to NAR.

The South and West recorded monthly increases, while the Northeast and Midwest declined. On a year-over-year basis, pending sales decreased across all four major U.S. regions.

This provides a mixed picture of housing demand: some transaction activity continues, but overall contract activity remains below last year’s level.

Treasury Yields Remain Important for Mortgage Rates

Long-term Treasury yields are another factor mortgage-market participants are watching.

Reuters reported on September 24 that U.S. 30-year Treasury borrowing costs reached their highest level in more than 20 years amid a broader global bond-market selloff.

Mortgage rates do not simply follow the Federal Reserve’s policy rate. Longer-term market yields, mortgage-backed securities, inflation expectations, economic conditions and investor demand all influence mortgage pricing.

For this reason, a change in the Federal Reserve’s short-term policy rate does not automatically translate into the same-size movement in 30-year mortgage rates.

What Today’s Market Means for Real Estate Investors

For real estate investors, today’s market highlights the importance of evaluating the complete financing structure.

Before purchasing or refinancing an investment property, investors should review:

• Purchase price and current property value
• Loan-to-value ratio
• Expected rental income
• Debt-service coverage ratio (DSCR)
• Property taxes and insurance
• Vacancy and operating expenses
• Cash required to close
• Interest rate and points
• Prepayment or early payoff provisions
• Required reserves
• Refinance or sale exit strategy

A higher interest rate does not automatically make a transaction unworkable, just as a lower rate does not automatically make a property a sound investment. The property-level numbers and financing structure need to be evaluated together.

DSCR Financing Remains Relevant for Rental Investors

For eligible investment properties, DSCR financing can provide an alternative to traditional qualification approaches by placing significant emphasis on the property’s ability to support its debt service.

This can be particularly relevant for real estate investors who are purchasing rental properties, expanding an investment portfolio or refinancing existing investment-property debt.

Investors should compare the complete loan structure rather than focusing solely on the advertised interest rate. Program eligibility, leverage, property type, rental income, reserves, credit profile, fees and prepayment provisions can vary by lender and transaction.

Investment Property Financing Options

Depending on the transaction and borrower qualifications, real estate investors may consider financing options such as:

• DSCR Rental Loans
• Investment Property Purchase Loans
• Cash-Out Refinance
• Fix & Flip Financing
• Bridge Loans
• Ground-Up Construction Financing
• Multifamily Financing
• Commercial Real Estate Financing

Each financing structure serves a different purpose, and availability depends on the property, borrower, transaction structure and applicable lender guidelines.

Today’s Investor Takeaway

The biggest takeaway from today’s US mortgage news today is that financing conditions remain dynamic.

With mortgage rates near 7%, investors should focus on cash flow, leverage, total financing costs and the exit strategy, rather than evaluating a property based solely on its purchase price or advertised interest rate.

The increase in housing inventory may create additional negotiating opportunities in some markets, while slower sales indicate that buyers continue to face affordability challenges.

For investors, this environment makes careful underwriting and financing comparison particularly important.

Kala Lending: Residential & Commercial Mortgage Solutions

Kala Lending LLC provides residential and commercial mortgage financing solutions for homeowners, real estate investors and business owners.

Financing options may include residential mortgages, DSCR rental loans, Fix & Flip, Bridge, Ground-Up Construction, multifamily and commercial real estate financing, subject to applicable program guidelines and borrower qualifications.

Kala Lending also focuses on transparent communication about financing costs and loan structure from the initial discussion through funding.

Learn more: Kala Lending LLC

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Funding & Loan Inquiries: fundings@kalalending.com

Important Disclaimer

Mortgage rates, loan programs, underwriting requirements, property eligibility, fees and closing costs can change. Rates shown in this article are market averages or reported survey figures and are not a commitment to lend or a quote for any individual borrower. Actual loan terms depend on borrower qualifications, property characteristics, loan structure, market conditions and applicable lender guidelines.