Mortgage rates surged 13 basis points to 7.1%, the highest level since mid-February, according to Mortgage News Daily. The increase is largely due to bond yields spiking higher in response to President Donald Trump’s new tariffs on dozens of countries.
The yield on the 10-year Treasury also rose, contributing to the surge in mortgage rates. This move has significant implications for the housing market, which is entering its spring season. With most consumers viewing a home as their largest investment, high mortgage rates can have a negative impact on the market.
Industry experts are divided on the outlook. Matthew Graham, chief operating officer at Mortgage News Daily, suggests that this may be the end of a worst week for 10-year yields since 1981. However, Nancy Lazar, global chief economist at Piper Sandler, cautions that consumers should “forget about housing in this environment” due to high mortgage rates and job market concerns.
Source: https://www.cnbc.com/2025/04/11/mortgage-rates-surge-tariffs-bond-market.html