rewrite this title Weekly Mortgage Rates Tick Up as Inflation Flares Again – NerdWallet

Mortgage rates are still drifting higher for their fourth straight week, and fresh inflation data suggests home buyers may not see much relief anytime soon.

The average rate on a 30-year fixed-rate mortgage rose four basis points to 6.46% APR in the week ending May 28, according to rates provided to NerdWallet by Zillow. (A basis point is one one-hundredth of a percentage point.) We calculate our weekly average using daily APRs recorded over the past five business days.

All things considered, four basis points is a relatively modest increase given the ongoing instability in the Middle East. This week brought a mix of headlines, from new U.S. strikes on Iranian targets to a possible peace framework that could reopen the Strait of Hormuz, a key route for global oil shipments.

New inflation data released this morning from the Bureau of Economic Analysis showed consumer prices accelerating in April at their fastest annual pace in nearly three years.

Under that pressure, the Personal Consumption Expenditures Price Index (PCE) showed inflation rose in April at an annual rate of 3.8% — the highest since May 2023, when the economy was still recovering from pandemic-era supply chain shocks.

That’s a grim statistic, but it shouldn’t come as a surprise if you’ve filled up your gas tank or grocery cart in the past few months.

“Inflation appears to be quickening, both due to the oil price shock and its downstream effects, and the ongoing impact of tariffs,” says Elizabeth Renter, NerdWallet senior economist. “While prices are rising faster than comfortable, incomes are not, putting consumers in an uncomfortable spot.”

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Today’s PCE data, as the Federal Reserve’s preferred measure of inflation, is likely to get the central bankers’ attention. Federal Reserve Chair Kevin Warsh now faces the difficult task of cooling inflation without pushing the economy too far off balance. The Federal Reserve’s next meeting is June 16-17.

About the author

Abby Badach Doyle has been writing about homeownership and mortgages for NerdWallet since 2022. Her work has been featured in outlets including The Associated Press, The Washington Post and The Seattle Times. From interactive tools to practical advice, Abby is passionate about making the homebuying journey less stressful — especially for first-time buyers.

As a reporter, she is interested in writing about innovative housing solutions (like co-living) and personal stories about how homeownership builds community and a sense of belonging.

Abby is also a musician, songwriter and producer who knows the challenge of balancing creative fulfillment with financial stability. In 2024, she produced a special episode of NerdWallet’s “Smart Money” podcast on how to navigate income swings in a creative career.

Abby is based in Pittsburgh, a city defined by working-class grit and neighborly spirit. When she’s not writing about personal finance, she’s at her urban homestead: playing fiddle, raising chickens and preserving the bounty from her garden.