Yields on 10-year U.S. Treasurys crept over 5.3% on Monday, striking fresh yearly highs and dashing hopes that a weak September jobs report might quell their unrelenting rise.
Mortgage rates already at their highest levels in more than two years also crept upward, nearing 7.5% for typical 30-year loans, according to Bankrate.
Homebuying affordability remains historically poor for median income earners, which has led to a steady decline in mortgage demand since the beginning of the summer. Purchase application volumes declined 14% below year-ago levels last week, hitting their slowest pace since April 2025, according to the Mortgage Bankers Association.
But mortgage veterans on the front lines of the home lending industry say elevated mortga...
