The interest rate on America’s most popular home loan surged this week, surpassing its mid-summer high as federal regulators continue to wrestle with high inflation.

The rate on a 30-year fixed mortgage — up for the third straight week — is now ever so close to the 6% mark, a level consumers have not seen in more than a decade.

Borrowing costs could easily continue their upward momentum, with the Federal Reserve planning more hikes to its trend-setting interest rate as it attempts to cool the economy and bring down high prices.

“It is very much our view, and my view, that we need to act now forthrightly, strongly and as we have been doing, and we need to keep at it until the job is done,” Fed Chair Jerome Powell said this week at the annual Cato Institute Monetary Conference.

Don’t miss

• Buying a home? Do this before you secure a mortgage...

• Variable mortgage rates are going up — here’s how you can prepare

• With interest rates rising, now might be the time to tap your home equity for cash

30-year fixed-rate mortgages

The 30-year fixed mortgage rate averaged 5.89% this week, up from 5.66% last week and 2.88% one year ago, housing finance giant Freddie Mac reported on Thursday.

“Mortgage rates rose again as markets continue to manage the prospect of more aggressive monetary policy due to elevated inflation,” says Sam Khater, Freddie Mac’s chief economist.

Higher borrowing costs are depressing the housing market, as many would-be buyers can no longer afford to finance a home purchase with rates more than double what they were this time last year.

This week’s higher rate, however, is just an average. Borrowers who shop around can and do find lower rates.

“Our research indicates that borrowers could save an average of $1,500 over the life of a loan by getting one additional rate quote and an average of about $3,000 if they get five quotes,” Khater says.

15-year fixed-rate mortgages

The interest rate on a 15-year fixed-rate mortgage averaged 5.16% this week, up from 4.98% last week, Freddie Mac reports.

Last year at this time, the 15-year rate was averaging 2.19%.

Although housing activity typically tends to slow this time of year as kids go back to school and families get in one last summer road trip, the surge in mortgage rates weighed even more on the market over the Labor Day weekend, said Daryl Fairweather, chief economist at Redfin.

Fewer shoppers toured homes over the long weekend — and the share of sellers dropping their prices was near a record high, according to Redfin. New listings fell 18% year-over-year as rates spiked.