Mortgage Rates Today: June 25, 2025 - 30-Year Rates Steady, 15-Year Rates Down

Forbes

25-06-2025

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The current mortgage rate on a 30-year fixed mortgage fell by 1.37% in the last week to 6.7%, according to the Mortgage Research Center.
Meanwhile, the APR on a 15-year fixed mortgage dropped 0.10 percentage point during the same period to 5.69%.
For existing homeowners, compare your current mortgage rates with today's refinance rates .
Borrowers paid an average rate of 6.7% on a 30-year mortgage. This was down from the previous week's rate of 6.79%.
Currently, the average APR on a 30-year fixed-rate mortgage is 6.73%. This is lower than last week when the APR was 6.82%. The APR contains both mortgage interest and the lender fees to help give a more complete picture of loan costs.
To get an idea of how much you'll pay: a $100,000 mortgage with a 30-year fixed-rate loan at the current average interest rate of 6.7% will cost you about $645 including principal and interest (taxes and fees not included) each month, the Forbes Advisor mortgage calculator shows. That's around $132,993 in total interest over the life of the loan.
Today's 15-year mortgage (fixed-rate) is 5.69%, down 1.76% from the previous week. The same time last week, the 15-year, fixed-rate mortgage was at 5.79%.
The APR on a 15-year fixed is 5.73%. It was 5.84% a week earlier.
A 15-year, fixed-rate mortgage with today's interest rate of 5.69% will cost $827 per month in principal and interest on a $100,000 mortgage (not including taxes and insurance). In this scenario, borrowers would pay approximately $49,310 in total interest.
The current average interest rate on a 30-year, fixed-rate jumbo mortgage (a mortgage above 2025's conforming loan limit of $806,500 in most areas) is 6.97%—1.58% lower than last week.
A 30-year jumbo mortgage at today's fixed interest rate of 6.97% will cost you $663 per month in principal and interest per $100,000. That adds up to around $139,146 in total interest over the life of the loan.
Although mortgage rates mainly fell after reaching a high in spring 2024, they surged again in October 2024. This is despite the Federal Reserve's cuts to the federal funds rate (its benchmark interest rate) in September, November and December 2024.
While rates have fallen somewhat since mid-January 2025, experts don't expect them to drop significantly anytime soon.
Mortgage rates are influenced by various economic factors, making it difficult to predict when they will drop .
Mortgage rates follow U.S. Treasury bond yields. When bond yields decrease, mortgage rates generally follow suit.
The Federal Reserve's decisions and global events also play a key role in shaping mortgage rates. If inflation rises or the economy slows, the Fed may lower its federal funds rate. For example, during the Covid-19 pandemic, the Fed reduced rates, which drove interest rates to record lows.
A significant drop in mortgage rates seems unlikely in the near future. However, they may decline if inflation eases or the economy weakens.
The Federal Reserve's restrictive monetary policy – including its interest rate hikes, which it's using to restrain inflation – is the primary factor that's pushing long-term mortgage rates higher. The state of the economy and housing market also affects mortgage rates. As for what interest rate the lender might offer you, this depends on your debt-to-income (DTI) ratio and credit score, both of which indicate your risk as a borrower.
Related: Mortgage Rates Forecast And Trends
Shop around and talk to various lenders to get a sense of each company's mortgage loan offerings and services. Don't go with the first lender quote you receive; instead, compare the best mortgage rate quotes to get a deal. In particular, consider what fees they charge, what fees they're willing to waive and what closing assistance they might provide. Make sure any special offers or discounts don't come at the cost of a higher mortgage rate.
Be sure to apply with each lender within a 45-day window. During this window, you can have multiple lenders pull your credit history without additional impact on your credit score.
Mortgage rates remain elevated, and the nation's housing supply remains limited. The low inventory is preventing house prices from dropping. Meanwhile, the combination of high mortgage rates and appreciated home values will continue to present an obstacle for many prospective homebuyers seeking affordable housing.
Home loan borrowers can qualify for better mortgage rates by having good or excellent credit, maintaining a low debt-to-income (DTI) ratio and pursuing loan programs that don't charge mortgage insurance premiums or similar ongoing charges that increase the loan's APR .
Comparing rates from different mortgage lenders is an excellent starting point. You may also compare conventional, first-time homebuyer and government-backed programs like FHA and VA loans, which have different rates and fees.
Several economic factors influence the trajectory of rates for new home loans. For example, Federal Reserve rate hikes indirectly cause the interest rates for many long-term loans to increase. Rates are more likely to decrease when the Fed pauses or decreases its benchmark Federal Funds Rate.
The inflation rate and the general state of the economy also impact interest rates. High inflation and a strong economy typically signal higher rates. Cooling consumer demand or inflation may lead to rate decreases.
Many home buyers are eligible for several mortgage loan types . Each program can have its own advantages: Conventional mortgage. A conventional home loan is ideal for borrowers with good or excellent credit to qualify for competitive rates. Additionally, making a minimum 20% down payment helps you waive private mortgage insurance premiums.
A conventional home loan is ideal for borrowers with good or excellent credit to qualify for competitive rates. Additionally, making a minimum 20% down payment helps you waive private mortgage insurance premiums. FHA loan. An FHA home loan is best when applying with imperfect credit or a low down payment. You can put as little as 3.5% down with a credit score above 580. A minimum 10% down payment is necessary for credit scores ranging from 500 to 579.
An is best when applying with imperfect credit or a low down payment. You can put as little as 3.5% down with a credit score above 580. A minimum 10% down payment is necessary for credit scores ranging from 500 to 579. VA loan. Borrowers with a qualifying military background may prefer a VA loan for its flexibility. A down payment may not be required. While you pay a one-time funding fee , there are no ongoing mortgage insurance premiums or service fees.
Borrowers with a qualifying military background may prefer a for its flexibility. A down payment may not be required. While you pay a one-time , there are no ongoing mortgage insurance premiums or service fees. USDA loan. Applicants in eligible rural areas can buy or build a home with no down payment, although an upfront and annual guarantee fee applies. Additionally, income requirements apply and this program requires a moderate income or lower.
Applicants in eligible rural areas can buy or build a home with no down payment, although an upfront and annual guarantee fee applies. Additionally, income requirements apply and this program requires a moderate income or lower. Jumbo loan. Homebuyers in a high-cost-of-living area will need to apply for a jumbo loan when the loan amount exceeds the Federal Housing Finance Agency's conforming loan limits. The limit in most municipalities is $806,500 in 2025. Frequently Asked Questions (FAQs)
A competitive mortgage rate currently ranges from 6% to 8% for a 30-year fixed loan. Several factors impact mortgage rates, including the repayment term, loan type and borrower's credit score.
The Federal Reserve's efforts to stabilize the economy during the Covid-19 pandemic drove the historically low rates. As the economy recovers, the unemployment rate decreases and inflation is controlled, rates may dip below current levels, but they're unlikely to fall as low as 3% again anytime soon.
A mortgage interest rate reflects what a lender is charging you on top of your loan amount in return for allowing you to borrow money.
Annual percentage rate (APR) , on the other hand, is a calculation that includes both a loan's interest rate and finance charges, expressed as an annual cost over the life of the loan. In other words, it's the total cost of credit. APR accounts for interest, fees and time.
Since APRs include both the interest rate and certain fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you keep it for the entire term. The APR will usually be higher than the interest rate, but there are exceptions.