Witness a surge in 30-year mortgage rates on Tuesday, with an almost half-percentage-point increase over the past week, now standing at an average of 7.65%. This marks the highest level for 30-year rates since late November. Additionally, rates for various other mortgage types also saw a modest uptick.
National Averages of Lenders’ Best Mortgage Rates
| Loan Type | New Purchase | Refinance |
|---|---|---|
| 30-Year Fixed | 7.65% | 8.05% |
| FHA 30-Year Fixed | 7.48% | 7.77% |
| Jumbo 30-Year Fixed | 7.20% | 7.20% |
| 15-Year Fixed | 7.00% | 7.32% |
| 5/6 ARM | 7.89% | 7.97% |
Given the wide variation in rates among lenders, it’s advisable to compare mortgage options diligently and monitor rates regularly, irrespective of the loan type you are seeking.
Today’s Mortgage Rate Averages: New Purchase
30-year mortgage rates saw a 5 basis point increase on Tuesday, following a significant 18-point jump on Monday. This translates to a surge of 45 basis points since the previous Tuesday, bringing the average to 7.65%, the highest since late November.
Compared to early February, current 30-year rates are notably higher. However, they remain lower than the historic peak of 8.45% recorded in October.
15-year mortgage rates for new purchases also rose on Tuesday, reaching 7.00%, the highest level in over five months but still below the fall peak of 7.59%.
Jumbo 30-year rates remained stagnant on Tuesday at 7.20%, their highest level since late November. Last fall, jumbo rates peaked at 7.52%, the highest in over 20 years.
Among new purchase mortgages, jumbo 7/6 adjustable-rate loans saw a significant 12 basis point increase, while 5/6 ARM loans decreased by 8 basis points.
National Averages of Lenders’ Best Rates – New Purchase
| Loan Type | New Purchase Rates | Daily Change |
|---|---|---|
| 30-Year Fixed | 7.65% | +0.05 |
| FHA 30-Year Fixed | 7.48% | +0.06 |
The Weekly Freddie Mac Average
Freddie Mac’s weekly average for 30-year mortgage rates edged up 6 basis points to 6.88% last week, significantly lower than the historic peak of 7.79% in late October. Unlike our daily averages, Freddie Mac’s weekly calculation blends rates from the previous five days, potentially affecting the reported rate.
Freddie Mac’s rates can differ from ours due to their inclusion of loans priced with discount points. Our rates, meanwhile, only consider zero-point loans, providing a more specific and current rate indicator.
Today’s Mortgage Rate Averages: Refinancing
Refinancing rates showed an increase on Tuesday, with 30-year refinance rates climbing by 12 basis points, widening the gap with new purchase rates to 40 basis points. The 15-year refi average saw a milder 3-point increase, while jumbo 30-year refinance rates remained stable.
National Averages of Lenders’ Best Rates – Refinance
| Loan Type | Refinance Rates | Daily Change |
|---|---|---|
| 30-Year Fixed | 8.05% | +0.12 |
Utilize our Mortgage Calculator to gauge monthly payments across various loan scenarios.
The rates presented are average rates, differing from the teaser rates often advertised online. Your final mortgage rate will depend on factors like credit score, income, and more, and may vary from the averages shown here.
Mortgage Rates by State
State-specific mortgage rates can vary based on factors such as credit score variations, mortgage loan types, and individual lender risk management strategies.
States with the lowest 30-year new purchase rates include Mississippi, Louisiana, Rhode Island, Vermont, Hawaii, Iowa, Kansas, and Nebraska, while higher rates prevail in states like Minnesota, Oregon, Tennessee, New Mexico, Montana, Ohio, and Arizona.
What Causes Mortgage Rates to Rise or Fall?
Mortgage rates are influenced by various macroeconomic and industry factors, including bond market trends, Federal Reserve policies, and competition among lenders.
- The bond market’s performance, especially 10-year Treasury yields
- The Federal Reserve’s monetary policy, particularly regarding bond buying and government-backed mortgages
- Competition dynamics in the mortgage lending sector
Due to the multifaceted nature of rate fluctuations, it’s challenging to attribute changes to a single factor.
The Federal Reserve’s bond-buying policies heavily influenced mortgage rates in 2021, but a tapering of these purchases starting in late 2021 led to rate increases.
As inflationary pressures rose, the Fed hiked the federal funds rate aggressively between November 2021 and July 2023, indirectly impacting mortgage rates.
The Fed’s future actions, including expected rate cuts in 2024 and beyond, are crucial determinants of mortgage rate movements.
With economic uncertainties lingering, the Fed is maintaining a cautious stance on rate adjustments. However, committee members anticipate rate decreases in the coming years.
The Fed’s upcoming decisions are closely monitored, with expectations of rate reductions according to the latest forecasts.
How We Track Mortgage Rates
Our national averages are based on offerings from over 200 top lenders, ensuring accurate representations of what consumers can expect based on their qualifications.
For state-specific rates, we present the lowest rate available in each state, adhering to standard criteria to offer a comprehensive view of the mortgage landscape.
