Mortgage rates for nearly all types of home loans jumped higher Monday after the Labor Department released a strong employment report. Currently, the average 30-year fixed rate loan stands at 3.63%, up .05 percent from Friday.
Employment rose at a faster pace than expected for the second month in a row, and wages also continued to surge. The unemployment rate remained healthy and under 5%.
Industry experts speculate that the Fed will be likely to raise rates toward the end of this year as all signs suggest that faster economic growth is inevitable. While not directly tied to mortgage rates, the Fed’s decision often affects home loans, and lenders have warned that rates are likely to raise considerably in 2017.