Mortgage rates have risen to an average of 6.48% for a 30-year fixed loan and 6.09% for a 15-year loan as of March 25, reflecting continued upward pressure on borrowing costs. This increase has contributed to a 10.5% drop in mortgage application volume last week, indicating a slowdown in housing market activity. Refinancing demand also fell by 15%, although it remains higher than last year. The rise in rates is influenced by elevated Treasury yields and ongoing global economic uncertainties, including high oil prices and inflation concerns. While forecasts suggest a potential decline in rates to around 6.1% by the end of 2026, the current environment poses affordability challenges for buyers, impacting both demand and market dynamics.