Mortgage Rates Hit 6.55% as Iran Conflict Shakes Markets

Since the US-Iran conflict started, the typical 30-year mortgage rate has climbed from about 5.95% to 6.55% — the highest in 2026 — for the week ending July 17, according to Trading Economics and MarketWatch. Normally, wars make investors flock to safe government bonds, which lowers borrowing costs. This time, fears about inflation and supply disruptions are overriding that effect, keeping rates elevated.