Compare Current Mortgage Rates

Key Takeaways

• The current average mortgage rate on a 30-year fixed-rate mortgage, the most popular home loan, is 6.93%, a 20 basis points jump from the previous week.
• Borrowers looking for a shorter payoff horizon with 15-year fixed mortgages face an average rate of 6.21%, an increase of 17 basis points from a week ago.
• For buyers looking for guaranteed government loans for their dream homes, 30-year fixed FHA mortgages average 7.06%, compared to 6.76% the week prior.
• To find the best mortgage rate for you, focus on saving for your down payment, improving your credit score, and avoiding major financial changes before applying. During your search, keep an eye out for specialized loan programs, like ones first-time buyers, as these may offer better rates. Most importantly, take the time to compare rate quotes and get preapproved by multiple lenders to guarantee that you find the best rate.

Loan Term	Change	Rate
30-Year Fixed	+0.20	6.93%
15-Year Fixed	+0.17	6.21%
20-Year Fixed	+0.27	6.81%
10-Year Fixed	+0.11	6.08%
30-Year FHA	+0.30	7.06%
30-Year VA	+0.18	6.94%
5/1 ARM	+0.19	6.45%
Source: Bankrate

Reliable Rates From Vault

Please note that the mortgage rates listed are accurate as of the date of publication. As financial rates can fluctuate, the current rates may differ. We strive to update our data regularly to reflect these changes. For our complete methodology, please refer to the methodology section at the end of the article.

Vault’s Viewpoint: Mortgage Rate Industry Trends

Average rates hovering around 6.9% might feel painful compared to the sub-3% we saw in late 2020 and early 2021. But it’s a whole lot better than it could be. A zoom-out reveals that average mortgage interest rates topped 18% in 1981. 

A Look at the Current Housing Market

Even adjusted for inflation, houses were much more affordable in the 1980s. In fact, we’ve seen home values skyrocket in the last few years. 

The pandemic drove a greater demand for stable housing paired with major supply chain disruptions. As a result, in 2021, the Case-Shiller U.S. National Home Price Index jumped 18.6%. That’s the biggest single-year growth that index has measured since it started tracking home prices in 1987. 

It’s no surprise that the sale of existing homes has taken a hit. The NAR reports existing home sales have dropped from a peak of 6,600,600 per month in early 2021 to just 3,890,000 as of June 2024. In fact, 2023 was the slowest year for home sales since 1995. 

And as of the midpoint in 2024, home sales were still trending downward. We’ve reached the point at which experts are now predicting a transition from a seller’s market to one that favors buyers.

Still, between high home prices and high mortgage rates (compared to the last decade), many would-be homebuyers have been waiting to get serious about finding their new house. And the situation isn’t likely to change anytime soon—at least as far as rates are concerned. 

Good news could be on the horizon, though. Many experts predict downward mortgage rate movement in the coming months.

Historical Mortgage Rates

Mortgage rates have been steadily climbing since falling below 2.70% in early 2021, with a brief pause in 2023 before rising again. After the Federal Reserve’s September 2024 meeting, rates fell below 6.50% for the first time since May 2023. We’ve outlined the average mortgage rates since 2020 for 30-year fixed, 15-year fixed and 30-year fixed FHA loans below.

Federal Reserve Rates and How They Impact Mortgage Rates

While the nation’s central bank doesn’t directly set mortgage rates, it does play a role. The federal funds rate, which is set by the Federal Reserve, determines what banks charge other banks for short-term loans. As a result, it impacts the rates lending institutions charge in general. A higher Fed rate means paying more in interest for mortgages, car loans and more.

To try and stem inflation, the Fed raised its rate 11 times between March 2022 and August 2023. That accounted for the biggest federal funds rate climb we’ve seen since the 1980s. 

And mortgage rates followed suit. In March 2022, the Federal Reserve Bank of St. Louis reported they averaged 3.76% for a 30-year fixed-rate mortgage. By August 2023, the last time the Fed raised rates, mortgage rates had climbed to 7.23%. 

Since then, the Fed has held off on rate hikes. Still, mortgage rates are much higher than we’ve seen in the last decade, which isn’t an ideal outcome for many would-be homebuyers.

Mortgage Rate Predictions for the Rest of 2024

If you’re not in a rush to buy, it might be financially advantageous to wait until 2025 to start home shopping.

Despite the Federal Reserve cutting rates two consecutive times in 2024 at its September and November meetings, mortgage rates are still high due to high bond yields and borrowing costs. Further cuts are predicted in December and throughout 2025, though.

“Six to eight rounds of rate cuts all through 2025 look likely,” says Lawrence Yun, chief economist at the National Association of Realtors.

Read more: What November’s Fed Rate Cut Means for Mortgage Rates and Potential Homebuyers

What Determines My Mortgage Rate?

Clearly, the federal funds rate plays a role in how much interest you’ll need to pay on your mortgage. That’s unfortunate since you can’t control the Federal Reserve, but it doesn’t mean your hands are completely tied. Some factors that determine your mortgage rate are absolutely within your control. 

If a mortgage lender feels like you’re likely to repay what you borrow, they see you as a lower risk. Conversely, if they’re not so sure you’ll pay your mortgage back in full or make on-time payments, they may still lend to you, but they’ll charge you more in interest to offset what they see as a greater risk in offering you money. 

We can give you an idea of where you can influence your mortgage rate, plus some areas that fall outside your control. Here’s a list of everything lenders consider when tying a rate to a home loan:

• Your financial profile: A steady paycheck goes a long way toward lowering your mortgage rate. So does a limited amount of other debt, from car and student loans to credit card debt. The more it looks like you can comfortably afford your mortgage payments, the more likely a lender is to offer you a lower interest rate. 
• Your credit score: This falls into the category of your financial profile, but we’re calling it out individually because it’s such a big determinant of mortgage rates. That three-digit score tells lenders a lot about how you manage your money. A good credit score (670 or above) shows that you have experience with credit and you’re responsible with it. It informs lenders about your credit utilization ratio, for example. This tells them whether or not you’re regularly maxing out your lines of credit, like credit cards. In short, a good credit score tells lenders that you usually repay what you borrow and you make your payments on time. This means they see you as a lower risk, enabling them to offer you a lower mortgage interest rate. (While you can buy a house with bad credit, you’ll need to be ready to pay more in interest.) 
• Loan amount: The more you’re borrowing, the more lenders risk in handing over that big chunk of change. Even if your financial profile isn’t outstanding, if you only need a relatively small home loan, you may still be able to get a competitive interest rate. 
• Down payment: The more you put down, the more you lower risk for the lender. First off, the down payment directly reduces the loan amount. Additionally, though, a bigger down payment means you get your keys with more equity already established in your house. That means you have a lower loan-to-value ratio, which lenders like because it lowers your risk of foreclosure.
• Loan term: The longer you’re borrowing money, the harder it is for lenders to predict what will happen both in terms of your repayment and when it comes to the economy as a whole. Consequently, you’ll see lower mortgage interest rates on 15-year mortgages than on 30-year ones. 
• Loan type: Adjustable-rate mortgages lower risk for lenders. These loans allow them to charge you more interest if market changes call for it. As a result, you’ll see lower rates on ARMs and hybrid mortgages (which start with a fixed rate, then shift to an ARM) than fixed-rate mortgages. 
• Whether you’ve bought a home before: If you’re a first-time homebuyer, you can likely participate in programs specifically designed to help new homeowners. These can connect you to lower interest rates. Your options range from down payment assistance programs to HomeReady from Fannie Mae and Home Possible and HomeOne from Freddie Mac. 
• Whether the loan is conforming: Mortgages come in lots of different forms. If the amount you’re borrowing falls under the Federal Housing Finance Agency (FHFA) limit for your area, it’s called a conforming loan. Lenders see these as lower-risk and charge lower mortgage rates than they would for, say, a non-conforming jumbo loan. 
• Whether the government backs the loan: Some mortgages get backed by federal government agencies. These loans provide the lenders some security because if you fail to pay back what you borrow, that federal agency steps in to help the lender recoup some of their losses. As a result, loans backed by the Federal Housing Administration (FHA), Department of Veterans Affairs (VA) and the United States Department of Agriculture (USDA) usually come with lower interest rates than comparable loans that don’t have government backing. 
• The planned use for the home: If the home will be your primary residence, you can usually secure a lower mortgage rate than if you plan to use the property as a vacation or investment property. 
• The lender: Each lender has its own proprietary process for underwriting the loan. During underwriting, they look closely at your financial profile, the house you want to buy and other determinants, like their own supply and demand. Because each lender evaluates and weighs underwriting factors differently, the rate you get offered by one lender will likely differ from the rate you get from a second and third lender, even for the same loan amount tied to the same house. 
• The home’s location: Rates vary dramatically from state to state, and you can usually see some deviation from one city or county to the next. 
• Points: Most lenders offer the option to buy mortgage points upfront. This means you hand over a lump sum of money in exchange for a reduction of your mortgage interest rate. Usually, each mortgage point costs 1% of your loan amount in exchange for a 0.25% reduction in your interest rate. 

How To Find the Best Mortgage Lender for You

Evidently, mortgage lenders look at a wide range of factors when determining what interest rate to charge for any given home loan. To help yourself find the lender most willing to offer you a low rate, we have a few tips. 

Compare Current Mortgage Lenders

Mortgage Rates by Loan Type

• 30-Year Mortgage Rates
• 30-Year Refinance Rates
• 15-Year Mortgage Rates
• 15-Year Refinance Rates
• VA Mortgage Rates
• ARM Rates
• Cash-out Refinance Rates

Mortgage Rates by State

• Current Mortgage Rates in California
• Current Mortgage Rates in Texas
• Current Mortgage Rates in Michigan
• Current Mortgage Rates in Maryland
• Current Mortgage Rates in Washington
• Current Mortgage Rates in New York
• Current Mortgage Rates in Pennsylvania
• Current Mortgage Rates in Arizona
• Current Mortgage Rates in Utah
• Current Mortgage Rates in Minnesota
• Current Mortgage Rates in Colorado
• Current Mortgage Rates in Ohio
• Current Mortgage Rates in Georgia
• Current Mortgage Rates in Virginia
• Current Mortgage Rates in Wisconsin

Methodology

Bankrate displays two sets of rate averages that are produced from two surveys we conduct: one daily (“overnight averages”) and the other weekly (“Bankrate Monitor averages”).

The rates on this page represent our overnight averages. For these averages, APRs and rates are based on no existing relationship or automatic payments.