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Current mortgage rates
Archived — this story has rotated out of today’s deck. It is kept here in full.
The gist
Average 30-year mortgage rate hit 6.87%, highest since June 2025. Rising oil prices from Iran war push bond yields and mortgage rates up.
Background
Mortgage rates have been climbing due to inflation expectations, elevated bond issuance, and economic resilience, with recent spikes tied to rising oil prices after U.S. airstrikes near Hormuz. The average 30-year fixed rate reached 6.87% on August 31, 2026, the highest since June 2025, and has been steadily increasing since the start of the Iran war in February.
How it unfolded
- Aug 30, 2026Fixed mortgage rates were higher than last week, with the 30-year fixed rate rising 18 basis points.
- Aug 31, 2026Average 30-year fixed rate jumped 6 basis points to 6.87%, the highest since June 2025, according to Mortgage News Daily. Fortune reported the average 30-year rate at 6.710%.
- Sep 1, 2026Yahoo Finance reported the average 30-year fixed rate at 6.59%, up four basis points, following U.S. airstrikes near Hormuz.
- Sep 2, 2026Fortune reported the average 30-year rate at 6.803%, up from 6.777%. WSJ reported 30-year rates climbing to 6.76%.
Who’s saying what
- Analysts
- Matthew Graham of Mortgage News Daily said the rise is a 'slow grind' fueled by inflation expectations, elevated bond issuance, and economic resilience, not surprising new momentum.