The average interest rate for a 30-year fixed mortgage rose to 7.67% this week, according to Freddie Mac. This marks the highest level since April 2010.

Despite the increase in rates, total mortgage applications edged up slightly last week, thanks to higher demand for adjustable-rate loans.

According to the Mortgage Bankers Association, the demand for adjustable-rate mortgages (ARMs) increased 3.1% last week, while the demand for fixed-rate mortgages fell by 2.2%.

ARMs offer lower rates than fixed-rates for a set period of time, after which the rates adjust to market rates. This makes them a popular choice for borrowers who expect to sell or refinance their homes within a few years.

Overall, the Mortgage Bankers Association’s index, which measures mortgage applications, was up 0.3% last week.

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