After reaching a five-month high just last week, 30-year mortgage rates have now experienced a slight decrease and are fluctuating below their recent peak. As of Monday, the 30-year average stands at 7.52%, with rates for various other new purchase mortgage types also seeing declines on the same day.

Today’s Mortgage Rate Averages: New Purchase

On Monday, 30-year mortgage rates decreased by 5 basis points, bringing the average down to 7.52%. This current rate reflects a drop of one eighth of a percentage point from the 7.65% recorded a week prior, which marked the highest level for the 30-year average since late November.

Although 30-year rates are higher compared to early February when they flirted with the 6% range, they are still significantly lower than the historic peak of 8.45% witnessed in October. This downward trend indicates relative affordability for borrowers in the current market.

In contrast, 15-year mortgage rates for new purchases experienced a decrease of 9 basis points on Monday, with the average now standing at 6.87%. This rate, while slightly below the recent high of 7.00%, remains considerably lower compared to last fall’s peak of 7.59%—the highest since 2000.

Jumbo 30-year rates remained stable on Monday after a surge the previous week, holding at 7.20%. This rate is the highest average recorded for jumbo 30-year mortgages since November, pointing to a relatively less volatile market for these particular loan types.

The Weekly Freddie Mac Average

Freddie Mac releases a weekly average of 30-year mortgage rates every Thursday. Last week saw a sharp increase of 22 basis points, resulting in a rate of 7.10%, surpassing the 7% threshold for the first time in 2024. In late October, Freddie Mac’s average reached a 23-year high of 7.79%, indicating significant fluctuations in the market over time.

Freddie Mac’s average rate differs from other benchmarks for several reasons, including the incorporation of rates over a week and the inclusion of discounts in pricing. Despite these differences, understanding these averages can provide valuable insights into the mortgage landscape.

Today’s Mortgage Rate Averages: Refinancing

Refinancing rates also saw a decline on Monday, with the 30-year refi average dropping by 3 basis points. This reduction highlights the ongoing variance between new purchase and refinance rates, signaling opportunities for homeowners to explore refinancing options.

Among refinancing rates, the 15-year refi average experienced the most significant change on Monday, declining by 16 basis points. While some categories remained stable, these fluctuations underscore the dynamic nature of the refinancing market.

Mortgage Rates by State

The availability of the lowest mortgage rates varies by state, influenced by factors such as credit scores, loan types, and local market conditions. States like Mississippi, Iowa, and Rhode Island are currently offering some of the most competitive rates for new purchase mortgages.

Conversely, states like Minnesota, New York, Arizona, and Oregon are experiencing higher average rates, necessitating careful consideration and comparison for borrowers in these regions.

What Causes Mortgage Rates to Rise or Fall?

Mortgage rates are influenced by a multitude of factors, including the performance of the bond market, regulatory policies set by the Federal Reserve, and the competitive landscape among lenders. Understanding these drivers can help borrowers navigate the complexities of the mortgage market.

Recent macroeconomic developments, such as the Federal Reserve’s bond-buying initiatives and inflation control measures, have had a notable impact on mortgage rates. By tracking these trends, borrowers can anticipate potential shifts in the interest rate environment.

The Fed’s decisions regarding interest rates play a pivotal role in shaping mortgage rate trends. For instance, the significant rate adjustments made by the Fed in response to inflation pressures have directly impacted mortgage rates, illustrating the interconnected nature of these financial indicators.

The Fed’s recent efforts to stabilize inflation and maintain economic growth have led to discussions about potential rate cuts in the coming months. By staying informed about these policy changes, borrowers can better assess their mortgage options amidst fluctuating market conditions.

How We Track Mortgage Rates

The national averages provided in this report are based on data collected from over 200 top lenders, reflecting rates for borrowers with specific credit profiles and loan-to-value ratios. By leveraging this information, borrowers can gain a clearer understanding of the prevailing mortgage market conditions and make informed decisions regarding their financing needs.

Our state-specific rate comparisons offer a comprehensive view of regional mortgage rate differentials, enabling borrowers to identify the best lending options based on their location and financial qualifications. By utilizing this data, borrowers can optimize their mortgage search process and secure favorable terms tailored to their individual circumstances.