Mortgage Rates Rise to 6% Amid Middle East Conflict Concerns

Mortgage rates in the U.S. have climbed to 6% for the week ending March 5, following military actions in Iran that unsettled financial markets. This marks a significant shift after rates briefly dipped below 6% for the first time since 2022, which had sparked hopes of revitalizing the housing market. The increase in rates is attributed to rising yields on the 10-year Treasury, typically seen as a safe investment during turmoil. While rates remain lower than the peaks of early 2025, the ongoing conflict and inflation from rising oil prices could further impact the housing market. Despite the increase, affordability remains better than last year, but home sales have dropped by 8.4% in January, indicating a sluggish market.

Key Details: • Mortgage rates reached 6% for the week ending March 5, 2026. • Home sales fell 8.4% in January, showing a decline across all U.S. regions. • Median existing home sales price has risen for 31 consecutive months.