Mortgage Rates Today: July 16, 2025
The current average mortgage rate on a 30-year fixed mortgage is 6.75%, according to the Mortgage Research Center. The average rate on a 15-year mortgage is 5.73%, while the average rate on a 30-year jumbo mortgage is 6.96%.
Borrowers will pay more in interest this week as the average rate on a 30-year mortgage is 6.75% compared to a rate of 6.74% a week ago.
The APR , which includes the interest and all of the lender fees, on a 30-year, fixed-rate mortgage is 6.78%. The APR was 6.77% last week.
To borrow a $100,000 in a 30-year, fixed-rate mortgage with the current rate of 6.75%, you will pay about $649 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. You'd pay around $134,238 in total interest over the life of the loan.
Today's 15-year mortgage (fixed-rate) is 5.73%, up 0.17% from the previous week. The same time last week, the 15-year, fixed-rate mortgage was at 5.72%.
The APR on a 15-year fixed is 5.77%. It was 5.76% a week earlier.
A 15-year, fixed-rate mortgage with today's interest rate of 5.73% will cost $829 per month in principal and interest on a $100,000 mortgage (not including taxes and insurance). In this scenario, borrowers would pay approximately $49,705 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 6.96%. Last week, the average rate was 7.04%.
If you lock in the latest rate on a 30-year, fixed-rate jumbo mortgage, you will pay $663 per month in principal and interest per $100,000 borrowed, which amounts to $139,098 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.
Everyone's budget and financial goals vary. How much house you can afford comes down to a number of factors, including what you earn and what you owe. You'll also want to consider how much you want to save for retirement, school and other expenses down the road.
Here are a few basic factors that go into what you can afford: Income
Debt
Debt-to-income ratio (DTI)
Down payment
Credit score
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)
Comparing lenders and loan programs is an excellent start. Borrowers should also strive for a good or excellent credit score between 670 and 850 and a debt-to-income ratio of 43% or less.
Further, making a minimum down payment of 20% on conventional mortgages can help you automatically waive private mortgage insurance premiums, which increases your borrowing costs. Buying discount points or lender credits can also reduce your interest rate.
Most rate locks last 30 to 60 days and your lender may not charge a fee for this initial period. However, extending the rate lock period up to 90 or 120 days is possible, depending on your lender, but additional costs may apply.
National average interest rates depend on economic and market conditions, including the bond market, inflation, the economy and Federal Reserve decisions.
Lenders set rates based on the loan type and term. In general, shorter terms tend to come with lower rates. Additionally, making a larger down payment signals less risk to the lender, which could get you a better rate.
Other factors that can impact your rate include your credit score, debt-to-income (DTI) ratio, income and property location.
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