Mortgage Rates Continue to Rise as was expected, the mortgage rates continue to climb upward this week. After jumping 11 base points two weeks ago, this week the rate on a 30 year fixed rate mortgage has escalated another 2 points to 3.66 according Mortgage Giant, Freddie Macs' Prime Mortgage Market Survey (PMMS).

The surveys reveals the following:

30-year fixed-rate mortgage (FRM) averaged 3.66 percent with an average 0.5 point for the week ending June 2, 2016, showing a slight rise from last week when it averaged 3.64 percent.

15-year FRM this week averaged 2.92 percent with an average 0.5 point, showing a rise from last week when it averaged 2.89 percent.

5/1-year ARM averaged 2.88 percent this week with an average 0.5 point and a 2.74 margin, slightly up from last week when it averaged 2.87 percent.

Since the 10 year treasury yield is leveling off, the mortgage rates are finding their place and also beginning to slow down.

Recent statements by the Fed suggest that a rate hike may come sooner than later. However, the market can change at a moments notice, and last Friday's employment report has the potential to change the opinion of the Fed without a moments notice.

The employment report is released monthly by the Bureau of Labor Statistics and contains all the information needed regarding the "Non-Farm Payrolls Report". This report marks the employment changes over 10 labor markets including finance and insurance.

There are several reasons that this report is "watched", one being that the report seriously affects the mortgage rates. When the employment is up, home sales are more likely to rise.

To calculate average mortgage rates, Freddie Mac surveys lenders across the country at the beginning of each week. The average doesn't include extra fees, known as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount.