US mortgage rates held close to recent highs on Monday, with the average 30-year fixed loan at 6.78%, according to the Reuters report. The reading was little changed from the prior week, underscoring how borrowing costs remain elevated for homebuyers and homeowners looking to refinance.

The steady rate comes as the Federal Reserve has signaled it is in no rush to lower interest rates. New projections from policymakers point to no rate cuts before September at the earliest, reducing hopes for near-term relief in the housing market.

For buyers, the combination of expensive mortgages and stubborn home prices continues to make affordability a challenge. Higher financing costs can shrink purchasing power, keep monthly payments elevated, and delay decisions for households already squeezed by broader living expenses.

Analysts are watching the next Fed moves closely, since even small changes in borrowing costs can affect housing demand, refinancing activity, and sentiment across the broader economy. For now, mortgage rates remain anchored near 6.8% as markets adjust to the prospect of higher-for-longer interest rates.