US mortgage rates rise to three-month high, spring housing market prospects under pressure.

Mortgage rates have risen for the third consecutive week, reaching the highest level in three months, as inflation concerns triggered by the Iran war raised government bond yields that guide housing loans. Data released by Freddie Mac on Thursday showed that the average rate for a 30-year fixed-rate mortgage rose to 6.22%, the highest since December 11, above last week's 6.11%. Rising rates are dampening the prospects for the crucial spring homebuying season, with the uncertainty of the Iran war adding to the cost pressures already facing buyers. 30-year mortgage rates briefly fell below 6% in late February for the first time since 2022, but concerns that the war would raise inflation led to an increase in 10-year US Treasury yields, followed by a rebound in rates. "The conflict with Iran is bringing a whole new round of worries to the economy and the real estate market," said Lisa Sturtevant, chief economist at Bright MLS. "At the moment, the start of the spring homebuying season is being delayed, with sellers postponing listings and buyers evaluating whether it's the right time to enter the market."