The era of low mortgage rates appears to be over.

According to Freddie Mac, the average interest rate on a standard 30-year, fixed-rate mortgage rose above 4 percent this week amid ongoing geopolitical instability and anticipation of yesterday’s quarter-percent interest rate hike by the Federal Reserve.

The mortgage buyer’s weekly survey showed 30-year fixed-rate mortgages averaged an interest rate of 4.16 percent for the week ending March 17, up substantially from last week’s survey when the average was 3.85 percent and from a year ago when the same average was 3.09 percent. It’s the highest the average has been since May 2019.

“The Federal Reserve raising short-term rates and signaling further increases means mortgage rates should continue to rise over the course of the year. While home purchase demand has moderated, it remains competitive due to low existing inventory, suggesting high house price pressures will continue during the spring homebuying season,” Sam Khater, Freddie Mac’s chief economist said in a statement.

In a statement released yesterday following the Fed’s interest rate announcement, Mortgage Bankers Association Chief Economist Mike Fratantoni said the association’s economics team anticipates rates will hit 4.5 percent over the course of the year.

“Mortgage rates have been exceptionally volatile in recent weeks, given the profound uncertainties both with respect to the geopolitical situation and monetary policy. Hopefully, the Fed’s actions and explanations can help to reduce the policy uncertainty, which would then diminish some of the current volatility,” he said.