Mortgage rates are surging because of the Iran war. Here's what to do. [USA TODAY]
PennyMac Mortgage Investment Trust Common Shares of Beneficial Interest (PMT)
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Source: USA TODAY
As the war in Iran rages on, mortgage rates are one casualty. The housing market got a bit of a boost earlier this year when the 30-year fixed-rate mortgage dipped below 6% for the first time in years . But barely a month later, the popular product stood at 6.38%. Late March saw the biggest one-week surge since April 2025, when the White House made its first shock-and-awe tariff announcements. This isn't the highest rates have been in recent years, but with home prices still elevated and many Americans struggling to afford higher prices on everything from milk to gas, borrowers need all the help they can get. That's why adjustable-rate mortgages (ARMs) are getting another look. ARMs offer borrowers a set rate for an introductory period of time, say five or seven years. After that period, they become adjustable – typically floating up or down, usually by tracking an index such as SOFR , which is one measure of how much banks pay to borrow. A standard 30-year fixed-rate mortgag
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PMT
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