Mitir Patel/Insights/October 19, 2026
Rates held at 7.40%. Fewer homes are going under contract.
Mortgage rates paused. The average 30-year rate was 7.40% in Freddie Mac's October 15 survey, unchanged from the week before. It was the first week without an increase since August. A year ago it was 6.27%.
On a $400,000 loan, that's about $2,770 a month for principal and interest, roughly $300 more than at last year's rate.
Buyers are feeling it. In September, about 10,900 Chicago-area homes were under contract, around 9% fewer than a year earlier, according to Realtor.com. Meanwhile, 15,929 homes were listed for sale, the most since last November.
For you, that can mean a little less pressure to decide on the spot, though it varies from home to home. Get pre-approved at today's rate first, so you know the monthly payment you're comfortable with, and then shop within it.
Have a question about a home you're watching? I'm happy to talk it through.
Where the numbers come from
- 30-year fixed mortgage rate — 7.40%, unchanged from 7.40% prior week; 6.27% a year ago (as of Survey of Oct 15, 2026 (latest release)) · Freddie Mac Primary Mortgage Market Survey
- First week without an increase since August — Weekly rate rose every week from Aug 27 (6.66%) through Oct 8 (7.40%); last non-increase was Aug 20 (6.65%, down from 6.67%) (as of Aug 20 – Oct 15, 2026) · Freddie Mac PMMS via FRED
- Monthly payment illustration, $400,000 loan, 30 years — Computation: principal + interest $2,769.52 at 7.40% vs $2,468.07 at 6.27% (+$301.44). Excludes taxes, insurance, HOA (as of Rates as of Oct 15, 2026) · —
- Homes under contract (pending listings), Chicago metro (Chicago-Naperville-Elgin) — 10,934 vs 11,967 in September 2025; computation: −8.6% ("around 9% fewer") (as of September 2026) · Realtor.com Residential Listings Database via FRED
- Homes listed for sale, Chicago metro — 15,929; highest monthly count since November 2025 (16,264) (as of September 2026) · Realtor.com Residential Listings Database via FRED
Thinking about buying or selling in Chicago?
These notes are the plain-language version of what I watch every week. If you want it applied to your own budget, your block, or your building, send a note — no pressure and no pitch.
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