The days of 30-year fixed mortgage rates below 3 percent may be gone for good. For nearly two months, fixed mortgage rates remained in a tight range, refusing to budge. This week, rising Treasury yields caused them to finally break out of their doldrums.

According to the latest data released Thursday by Freddie Mac, the 30-year fixed-rate average shot up to 3.01 percent with an average 0.7 point. (Points are fees paid to a lender equal to 1 percent of the loan amount. They are in addition to the interest rate.) It was 2.88 percent a week ago and 2.88 percent a year ago. The 30-year fixed rate hadn’t been above 3 percent since June.

Freddie Mac, the federally chartered mortgage investor, aggregates rates from around 80 lenders across the country to come up with weekly national averages. The survey is based on home purchase mortgages. Rates for refinances may be different. It uses rates for high-quality borrowers with strong credit scores and large down payments. Because of the criteria, these rates are not available to every borrower.

The 15-year fixed-rate average climbed to 2.28 percent with an average 0.6 point. It was 2.15 percent a week ago and 2.36 percent a year ago. The five-year adjustable rate average rose to 2.48 percent with an average 0.3 point. It was 2.43 percent a week ago and 2.9 percent a year ago.

“The Freddie Mac fixed rate for a 30-year loan jumped this week along with the 10-year Treasury yield, ending a seven-week streak of little or no movement,” said Danielle Hale, chief economist. “These increases were caused by the recognition that the economy is doing well and that growth will likely continue. This sentiment was boosted by the Fed’s statement last week that the economy had made enough progress toward economic goals that tapering of asset purchases may be warranted soon. While uncertainty over a variety of legislative priorities — from infrastructure plans to the debt limit — increase the potential for surprises and volatility in rates, the likely near-term trend is for rates to move higher.”

The yield on the 10-year Treasury has been on a steady climb since the Federal Reserve concluded its meeting last week. At the meeting, the Fed signaled it could begin reducing, or tapering, its bond-buying program after its next meeting in November. The yield went from 1.32 percent on Sept. 22, the day the meeting concluded, to 1.55 percent on Wednesday, jumping 23 basis points in one week. (A basis point is 0.01 percentage point.) The 10-year yield is at its highest level since June.

Yields rise when bond prices fall. Investors are selling bonds in part because the Fed revised its expectations for inflation. The central bank expects core consumer price inflation to reach 3.7 percent this year, up from 3 percent it predicted in June. Rising inflation erodes the value of bonds, and investors demand more in return for holding them. Mortgage rates tend to follow a similar path as long-term bonds, although that has been less the case lately.

“While the markets offered a muted initial reaction to last week’s announcement by the Federal Reserve that they would likely begin to tighten monetary policy this fall, bond yields — and the mortgage rates they influence — moved firmly higher in the days that followed,” said Matthew Speakman, a Zillow senior economist. “The strong uptick in yields was buoyed by more aggressive policy statements made by federal banks overseas and likely reflect the market collectively reconsidering the [economic] path forward in an environment with elevated inflation and falling covid-19 cases.”, which puts out a weekly mortgage rate trend index, found nearly three-quarters of the experts it surveyed predict rates will head higher in the coming week.

“Rates may continue to rise this week as apparently the Fed telegraphing the start of tapering by November has led the markets to sell off Treasurys and mortgage-backed securities rather quickly,” said Gordon Miller, owner of Miller Lending Group. “While I had thought this would wait until we got closer to that next Fed meeting, it appears the markets just wanted to hear it confirmed and selling seems to have already begun.”

Meanwhile, the rebound in mortgage applications was short-lived. According to the latest data from the Mortgage Bankers Association, the market composite index — a measure of total loan application volume — decreased 1.1 percent from a week earlier. Both the refinance index and the purchase index were down 1 percent. The refinance share of mortgage activity accounted for 66.4 percent of applications.

“Mortgage applications for home purchases and refinances decreased slightly last week,” said Bob Broeksmit, MBA president and CEO. “The prospects of stronger economic growth, and the Federal Reserve’s pending taper of asset purchases, led to an increase in mortgage rates. … The housing market’s strong demand from the summer has carried into the fall, but low inventory continues to suppress activity and push home prices higher. The average loan size for a purchase application reached $410,000, the highest since May 2021.”