Mortgage rates continue to fall. According to Freddie Mac, the national average 30-year fixed mortgage rate fell eight basis points this week to 6.19% — 35 basis points less than a year ago. The 15-year rate has also dropped eight basis points to 5.44%more than a quarter of a point less than last October.
“Mortgage rates continued a downward trend this week, hitting their lowest level in more than a year,” said Sam Khater, chief economist at Freddie Mac. “At the beginning of 2025, 30-year fixed-rate mortgages were above 7%, while today they hover nearly a percentage point lower. This dynamic has kept refinances high, accounting for more than half of all activity. mortgage for the sixth consecutive week.
Here are the current mortgage rates, according to the latest data from Zillow:
-
Fixed for 30 years: 6.13%
-
Fixed for 20 years: 5.66%
-
Fixed for 15 years: 5.37%
-
ARM 5/1: 6.26%
-
7/1 ARM: 6.41%
-
30 year old VA: 5.48%
-
VA of 15 years: 5.12%
-
5/1VA: 5.63%
Remember, these are national averages and are rounded to the nearest hundredth.
Here are the current mortgage refinance rates, according to the latest data from Zillow:
-
Fixed for 30 years: 6.24%
-
Fixed for 20 years: 5.71%
-
Fixed for 15 years: 5.64%
-
ARM 5/1: 6.42%
-
7/1 ARM: 6.44%
-
VA 30 years: 5.73%
-
VA of 15 years: 5.52%
-
5/1VA: 5.37%
Again, the figures provided are national averages rounded to the nearest hundredth. Mortgage refinancing rates are typically higher than rates when purchasing a home, although this is not always the case.
Dive deeper into the 7 home refinancing options.
Your mortgage rate plays a big role in the amount of your monthly payment. Use this mortgage calculator to see how your mortgage amount, rate, and term length will affect your monthly payments:
For an even more detailed look at your potential monthly payment, use our Yahoo Finance mortgage calculator. It also takes into account homeowner’s insurance, property taxes, mortgage insurance, and HOA fees.
A mortgage interest rate is a fee for borrowing money from your lender, expressed as a percentage. You can choose between two types of rates: fixed or adjustable.
A fixed-rate mortgage fixes your rate for the entire life of your loan. For example, if you take out a 30-year mortgage with a 6% interest rate, your rate will remain at 6% for the entire 30 years unless you refinance or sell.
An adjustable rate mortgage fixes your rate for a predetermined period of time and then changes it periodically. Let’s say you get a 7/1 ARM with a 6% introductory rate. His rate would be 6% for the first seven years, then the rate would increase or decrease once a year for the last 23 years of his term. Whether your rate goes up or down depends on several factors, such as the economy and the real estate market.
At the beginning of your mortgage term, most of your monthly payment goes toward interest. Your monthly mortgage principal and interest payment stays the same over the years; However, less and less of your payment goes toward interest and more goes toward mortgage principal or the amount you originally borrowed.
A 30-year fixed-rate mortgage is a good option if you want a lower mortgage payment and the predictability that comes with having a fixed rate. Just know that your rate will be higher than if you choose a shorter term and you’ll pay significantly more in interest over the years.
You may be interested in a 15-year fixed-rate mortgage if you want to pay off your home loan quickly and save money on interest. These shorter terms come with lower interest rates, and since you’ll cut your repayment time in half, you’ll save a lot on interest in the long run. But you’ll need to make sure you can comfortably afford the higher monthly payments that come with 15-year terms.
Typically, an adjustable rate mortgage might be good if you plan to sell before the introductory rate period ends. Adjustable rates generally start lower than fixed rates, then your rate will change after a predetermined period of time. However, 5/1 and 7/1 ARMs recently have similar (or even higher) 30-year fixed rates. Before getting an ARM just for a lower rate, compare your rate options from term to term and lender to lender.
Mortgage rates have remained fairly stable over the past few weeks, rising or falling only a few basis points each week. However, they are lower than the 52-week average.
Mortgage interest rates will likely remain relatively stable for the rest of the year. October forecasts from Fannie Mae and the Mortgage Bankers Association (MBA) predict the 30-year rate will remain at 6% or higher through most of 2026, although Fannie Mae projects it will fall to 5.9% in the fourth quarter of 2026.
According to Freddie Mac, the national average 30-year mortgage rate fell eight basis points to 6.19% over the week, and the average 15-year mortgage rate also fell eight basis points to 5.44%.
According to its October forecast, the MBA expects the 30-year mortgage rate to be 6.4% by the end of the year and stay there through 2026. Fannie Mae also puts the 30-year rate at 6.4% by the end of 2025.
Mortgage rates are likely to remain very close to their current levels, according to most industry forecasts, and some predictions suggest they could even be slightly lower.