Mortgage Rates Hit Two-Year High, Probability of a Hike: 97%

The average rate for a benchmark 30-year mortgage ticked up another 5 basis points over the past week to 4.13 percent, the highest average rate in over two years and 18 basis points higher than the 3.95 percent rate in place at the same time last year.

The average 30-year rate has jumped 56 basis points over the past four weeks, according to Freddie Mac’s Primary Mortgage Market Survey, a move which shouldn’t have caught any plugged-in readers by surprise.

And the probability of the Fed enacting a rate hike by the end of the year, a probability which had dropped to below 35 percent at the beginning of August, before ramping up to 74 percent six weeks ago, is currently holding at 97 percent according to movements in the futures market.