Mortgage rates have rebounded. The average 30-year rate rose 11 basis points, according to Zillow 6.11%. The 15-year interest rate was cut by two basis points to 5.48%.
Based on our latest Zillow data, here are the current mortgage rates:
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30 years fixed: 6.11%
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20 years fixed: 5.99%
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15 years fixed: 5.48%
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5/1 Arm: 6.12%
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7/1 Arm: 6.08%
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30 years VA: 5.52%
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15 years VA: 5.16%
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5/1 Virginia: 5.10%
Remember, these are national averages and rounded to the nearest percentile.
Here are the current mortgage refinance rates, according to the latest Zillow data:
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30 years fixed: 6.17%
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20 years fixed: 6.16%
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15 years fixed: 5.59%
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5/1 Arm: 6.44%
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7/1 Arm: 6.95%
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30 years VA: 5.54%
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15 years VA: 5.26%
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5/1 Virginia: 5.11%
Again, the numbers provided are national averages, rounded to the nearest percentile. Refinance rates are typically higher than purchase rates.
A mortgage calculator can help you understand how different mortgage terms and interest rates will affect your monthly payment. Different results can be calculated using this mortgage calculator.
You can bookmark the Yahoo Finance Mortgage Payment Calculator and keep it with you for future home purchases and loans. It also takes factors like property taxes and homeowners insurance into account when calculating your estimated monthly mortgage payment. This can give you a better idea of your total monthly payment than just looking at your mortgage principal and interest.
Generally speaking, 15-year mortgage rates are lower than 30-year mortgage rates. When comparing 15-year mortgage rates versus 30-year mortgage rates, keep in mind that the shorter term will save you money in interest in the long run. However, your monthly payments will be higher because you’ll pay off the same loan amount in half the time.
For example, for a $400,000 mortgage with a 30-year term and an interest rate of 6.11%, your monthly payment would be approximately $2,427 USD Your mortgage principal and interest. As interest accumulates over decades, you will eventually pay $473,563 interested.
If you get a $400,000 15-year mortgage with an interest rate of 5.48%, you will pay approximately $3,264 Make your principal and interest payments each month. However, you only need to pay $187,536 interest over the years.
If your monthly payments on a 15-year mortgage are too high, remember that you can always make extra mortgage payments on a 30-year loan to pay off your mortgage faster and ultimately pay less interest.
With a fixed-rate mortgage, your interest rate is locked in from day one. However, if you refinance your mortgage, you will get a new interest rate.
An adjustable-rate mortgage allows your interest rate to remain the same for a period of time. Rates will then go up or down based on a variety of factors, such as the state of the economy and the maximum amount your rate can change under your contract. For example, with a 7/1 ARM, your rate is locked in for the first seven years and then changes every year for the remaining term.
Adjustable rates are sometimes lower than fixed rates, but you run the risk of interest rates rising once the initial rate lock period is over. Recently, ARM rates have also started to go higher than fixed rates, so sometimes you won’t get a rate adjustment.
Economists don’t expect mortgage rates to fall significantly before the end of 2025.
In 2024, mortgage rates trended downward from early August until the September 18 Fed meeting, when the central bank announced a 50 basis point cut in the federal funds rate.
The Fed cut interest rates again (by 25 basis points each) at its November and December meetings. However, it paused for several months to consider its next steps.
Finally, the Federal Reserve announced two interest rate cuts in 2025, including at its latest meeting on October 29. The Fed is considering another interest rate cut before the end of the year. Nothing is set in stone, but currently, the CME FedWatch tool predicts about an 86% chance of another quarter-point rate cut at next week’s Fed meeting.
According to Zillow data, today’s 30-year fixed rate for home purchases is 6.11% and the refinancing rate is 6.17%. These are national averages, so keep in mind that your state or city’s averages may vary. Your rates will also vary based on your personal financial situation.
Mortgage rates are not expected to change much through the end of 2025. Even another short-term rate cut is not guaranteed as the Fed considers all relevant financial factors before its next meeting.
Mortgage rates may drop slightly in 2026. Depending on what happens with the economy, inflation and the Fed, the decline could be relatively small.
