30-Year Mortgage Rates Rise to 6.32%

The average rate on a 30-year mortgage climbed to 6.32% this week, Freddie Mac said, amid investor expectations the Federal Reserve will raise borrowing costs this month to keep inflation in check.

Thirty-year mortgages have rebounded after dropping to 6.28% in the first week of June. Except for then, mortgages have been 6.3% or higher since the second week of May.

Job growth and higher incomes will probably buoy sales as mortgage costs increase along with attempts by Fed policymakers to keep the economy from overheating, economists said.

The one-year adjustable rate fell this week to 4.13% from 4.14%, Freddie Mac said. The 15-year fixed rate rose to 5.7% from 5.67%.