Mortgage rates rose again this week. The average 30-year fixed rate climbed to 7.40%, Freddie Mac said Thursday. Last week it was 7.28%.

That is the highest Freddie Mac reading since the week of Nov. 16, 2023, National Mortgage News reported. It is also the seventh week in a row that the rate has gone up. A year ago, the 30-year rate averaged 6.30%. That means rates are now 1.1 percentage points higher than they were last fall.

The 15-year fixed rate also rose. It averaged 6.73%, up from 6.60% last week, Freddie Mac's survey shows.

Freddie Mac's survey tracks loans for buyers with excellent credit who put 20% down. Many buyers pay more than the average. Daily lender data ran higher on Thursday. National Mortgage News put the 30-year rate at 7.824% as of 11 a.m. Fortune's daily lender data showed 7.515% earlier that morning.

Sam Khater is Freddie Mac's chief economist. He told buyers to shop around. Getting several quotes "can potentially save them thousands over the loan's lifetime," he said.

High rates are keeping many people out of the market. Mortgage applications fell 4.2% in the latest weekly survey from the Mortgage Bankers Association, or MBA, Fortune reported. Refinance applications fell to less than half of last year's pace, Fortune reported, citing the MBA. The MBA said rates in its survey hit their highest level in almost three years, according to Fortune.

"Very few homeowners have an incentive to refinance at these rates," said Joel Kan, an MBA economist, according to Fortune.

Rates are high partly because long-term Treasury yields have stayed high. The Federal Reserve does not set mortgage rates directly, but its moves can push them. On Thursday, Realtor.com reported that a Fed official said more rate hikes are needed.

What we know: The 30-year average rose to 7.40% this week, Freddie Mac said.
What we don't: Whether rates will keep climbing next week.