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The economy, the Fed and inflation all have some influence on long-term fixed mortgage rates, which are generally linked to US Treasury yields. So there has been a spike since the Fed started raising rates.
The average 30-year fixed rate is now about 4.7%, up from 4.09% in 2015. That cost the average buyer about $ 42,000, WalletHub said.
Many homeowners with adjustable rate mortgages or home equity lines of credit, which are tied to the prime rate, will also be affected. While some ARMs are reset each year, a HELOC can be adjusted within 60 days.
What can you do about it: Those who have an ARM can still refinance at a fixed rate lower than what your ARM will adjust later this year, said Tendayi Kapfidze, chief economist at LendingTree. "I think we're in a rising trend, so it's better than later."
"If the federal funds rate continues to rise, there is no guarantee that these rates will be available in the future," he added.
If you have a HELOC, ask your lender to freeze the interest rate on your outstanding balance or consider refinancing a fixed rate home equity loan, although this limits the amount you can access.
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