US mortgage rate climbs to 22-year high, wiping out demand

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US mortgage rate climbs to 22-year high, wiping out demand
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Pickup in borrowing costs is making the housing market — already one of the least affordable on record — even worse

US mortgage rates jumped last week to the highest level since 2000, taking a toll on already depressed home-purchase applications.

The contract rate on a 30-year fixed mortgage rose 10 basis points to 7.41 per cent in the week ended September 22, according to Mortgage Bankers Association data out Wednesday. As a result, the index of home-purchase applications fell to 144.8, one of the lowest readings in decades.

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