Mortgage rates are not surging; rather, they have increased only slightly.
The average 30-year fixed rate rose to 6.11% for the week ending March 12, 2026, the highest in over a month but still below levels from a year ago (6.65%).
As of March 12, 2026, Freddie Mac reported the rate up from 6.00% the previous week, driven by economic uncertainty, including rising oil prices.
Homebuyers face slightly higher monthly payments, with a $400,000 loan costing about $20 more per month than last week.
Existing home sales increased 1.7% in February to a seasonally adjusted annual rate of 4.09 million units, according to the National Association of REALTORS®.
Analysts note that improving “affordability” and growing inventory may support continued activity in the spring buying season. The trend is monitoring homebuilders and real estate stocks, with some analysts maintaining expectations for potential Federal Reserve rate cuts later in the year.
Mortgage applications increased 3.2% in the latest week ending March 6, per the Mortgage Bankers Association, as buyers respond to rates in this range.
In Texas, where the housing market remains one of the nation’s most active due to population growth and economic expansion, the slight uptick in rates to around 6.11% is tempering but not halting buyer activity.
Home values in key areas like the Dallas-Fort Worth metro softened by about 5% in 2025 and are projected to remain flat or decline slightly through mid-2026, as higher borrowing costs reduce the pool of qualified buyers and keep monthly payments elevated, particularly for first-time homebuyers.
“Affordability” pressures persist, with median home prices in Central Texas regions like Buda hovering in the mid-$300,000 range, influenced by ongoing migration and job growth in tech and energy sectors.
Despite the modest rate increase, experts view 2026 as a “year of the buyer” in Texas, with builders offering incentives such as rate buy-downs to secure deals below the national average, potentially unlocking more inventory and reducing bidding wars.
Active listings are expected to rise by around 9% statewide, providing more choices amid stabilizing rates around 6%, which could support continued sales growth in high-demand areas like Austin and Houston while easing pressure on renters transitioning to ownership.
