Homebuyers See Lower Mortgage Rates: Current Mortgage Interest Rates on May 30, 2025
Check out CNET Money's weekly mortgage rate forecast for a more in-depth look at what's next for Fed rate cuts, labor data and inflation.
It's been a bumpy few months for mortgage rates. Lingering inflation, the threat of a global trade war and growing recession worries have reduced affordable options for homebuyers.
The average for a 30-year fixed mortgage is 6.94% today, a decrease of -0.02% over the last week. The average rate for a 15-year fixed mortgage is 6.10%, which is a decrease of -0.02% compared to a week ago.
Given so much economic uncertainty, the Federal Reserve is adopting a wait-and-see approach when it comes to interest rate adjustments. After cutting borrowing costs three times last year, the central bank has held rates steady so far in 2025, extending its holding pattern for a third consecutive meeting on May 7.
If President Trump eases some of his aggressive tariff measures or if the labor market deteriorates, it could prompt the Fed to resume easing interest rates, which would put downward pressure on bond yields and mortgage rates, said Logan Mohtashami, senior analyst at HousingWire.
Average 30-year fixed rates are likely to remain stuck between 6.5% and 7% for the time being. Prospective homebuyers also continue to face the challenges of high home prices and limited inventory.
When mortgage rates start to fall, be ready to take advantage. Experts recommend shopping around and comparing multiple offers to get the lowest rate. Enter your information here to get a custom quote from one of CNET's partner lenders.
About these rates: Bankrate's tool features rates from partner lenders that you can use when comparing multiple mortgage rates.
What's behind today's high mortgage rates?
Mortgage rates are closely tied to the bond market, specifically the 10-year Treasury yield, which is sensitive to investors' expectations for inflation, labor data, changes to monetary policy and global measures like tariffs.
Early forecasts called for a gradual decline in mortgage rates (potentially reaching 6% by the end of 2025), but concerns over a potential recession and uncertain trade policies have kept longer-term bond yields and mortgage rates in flux so far.
"Bond yields will only drop if the rate of inflation continues to drop and the economy weakens," said Melissa Cohn, regional vice president at William Raveis Mortgage. "If inflation were to fire back up, that could cause rates to go up," Cohn said, noting that tariffs, by nature, are inflationary.
Even if the economy slows and the Fed resumes interest rate cuts this summer, it will be difficult for mortgage rates to fall below 5.5% without the risk of a job-loss recession.
For a look at mortgage rate movement in recent years, see the chart below.
Mortgage rate forecast for 2025
Check out CNET Money's mortgage forecast for 2025. Here's a look at where some major housing authorities expect average mortgage rates to land.
How can I choose a mortgage term?
Each mortgage has a loan term, or payment schedule. The most common mortgage terms are 15 and 30 years, although 10-, 20- and 40-year mortgages also exist. With a fixed-rate mortgage, the interest rate is set for the duration of the loan, offering stability. With an adjustable-rate mortgage, the interest rate is only fixed for a certain amount of time (commonly five, seven or 10 years), after which the rate adjusts annually based on the market. Fixed-rate mortgages are a better option if you plan to live in a home in the long term, but adjustable-rate mortgages may offer lower interest rates upfront.
30-year fixed-rate mortgages
The average interest rate for a standard 30-year fixed mortgage is 6.94% today. A 30-year fixed mortgage is the most common loan term. It will often have a higher interest rate than a 15-year mortgage, but you'll have a lower monthly payment.
15-year fixed-rate mortgages
Today, the average rate for a 15-year, fixed mortgage is 6.10%. Though you'll have a bigger monthly payment than a 30-year fixed mortgage, a 15-year loan usually comes with a lower interest rate, allowing you to pay less interest in the long run and pay off your mortgage sooner.
5/1 adjustable-rate mortgages
A 5/1 ARM has an average rate of 6.18% today. You'll typically get a lower introductory interest rate with a 5/1 ARM in the first five years of the mortgage. But you could pay more after that period, depending on how the rate adjusts annually. If you plan to sell or refinance your house within five years, an ARM could be a good option.
Calculate your monthly mortgage payment
Getting a mortgage should always depend on your financial situation and long-term goals. The most important thing is to make a budget and try to stay within your means. CNET's mortgage calculator below can help homebuyers prepare for monthly mortgage payments.
Where can I find the best mortgage rates?
Though mortgage rates and home prices are high, the housing market won't be unaffordable forever. It's always a good time to save for a down payment and improve your credit score to help you secure a competitive mortgage rate when the time is right.
Save for a bigger down payment: Though a 20% down payment isn't required, a larger upfront payment means taking out a smaller mortgage, which will help you save in interest. Boost your credit score: You can qualify for a conventional mortgage with a 620 credit score, but a higher score of at least 740 will get you better rates. Pay off debt: Experts recommend a debt-to-income ratio of 36% or less to help you qualify for the best rates. Not carrying other debt will put you in a better position to handle your monthly payments. Research loans and assistance: Government-sponsored loans have more flexible borrowing requirements than conventional loans. Some government-sponsored or private programs can also help with your down payment and closing costs. Shop around for lenders: Researching and comparing multiple loan offers from different lenders can help you secure the lowest mortgage rate for your situation.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
News24
13 minutes ago
- News24
Investors beware: Trump 2.0 changed the game
Be among those who shape the future with knowledge. Uncover exclusive stories that captivate your mind and heart with our FREE 14-day subscription trial. Dive into a world of inspiration, learning, and empowerment. You can only trial once. Start your FREE trial now
CNN
23 minutes ago
- CNN
In Iowa, Trump's agenda collides with 2028 ambitions
Kentucky Sen. Rand Paul and Florida Sen. Rick Scott, at fundraisers in Iowa this week, sought to explain to the Republicans who are poised to have the first say in picking the party's 2028 presidential nominee why they want to put the brakes on the 'big, beautiful' bill that contains much of President Donald Trump's agenda. But Sue Cheek, a resident of Eldridge nearby, didn't want to hear it. 'We are the ones that elected Trump. This is what we wanted him to do. So let him do it,' she told CNN minutes before Scott took the stage at a fundraiser Friday night at a casino in Davenport. 'We are in a critical place right now in our country,' said Cheek, who works at a credit union. 'I don't care how much it costs to make our country secure. Once we get that done, then we can worry about that other stuff.' Trump is only months into his second term in office, but already, ambitious Republicans are flocking to the state whose caucuses are expected to kick off the party's 2028 presidential nominating contest. Paul spoke at a GOP fundraiser in Cedar Rapids on Thursday, and Scott followed with a fundraiser in Davenport on Friday. Arkansas Gov. Sarah Huckabee Sanders will speak at the conservative Christian group The Family Leader's summit in July. Days later, Virginia Gov. Glenn Youngkin will visit Des Moines to headline the state party's Lincoln Dinner. The two senators arrived in Iowa while the fate of Trump's legislative agenda rested in the Senate. Conservatives like Paul and Scott are demanding changes — with Paul seeking to remove a debt ceiling increase and both seeking much steeper spending cuts. Their positions put them at odds with many Republicans in this politically potent state who helped propel Trump to the White House. Asked by CNN before Thursday's event if he's faced pushback from Republicans in Iowa who want to see Trump's agenda advance quickly, Paul acknowledged that 'some have.' 'Some people come up to me and some people genuinely say, 'Support the president. Support the president,'' Paul said. 'But I think I was elected to be an independent voice.' 'There are things that we have some disagreements, and I don't think it would be right just to be quiet and not try to make the bill better,' Paul said. Scott said he is eager to achieve much of Trump's bill, including making 2017 tax cuts permanent and funding efforts to secure the US-Mexico border. 'I want to get the president's agenda done, too,' he told CNN. But, Scott said, 'we have to understand we have a spending problem.' 'Interest rates are high. Inflation is high. If we want to help … we got to get a balanced budget,' Scott said. 'We've got to have a we have to have a clear path to balanced budget.' Though the 2028 election is still years from taking shape, Iowa — where an open race for governor and competitive House races in next year's midterm elections give ambitious Republicans a pretext to visit and help raise money — is a near-permanent presidential battleground when an incumbent won't be on the ballot in the next election. Jeff Kaufmann, the longtime Iowa Republican Party chairman, said potential candidates are already calling him to ask for advice. 'We're certainly not going to have a 'Never Trump' candidate that even has a prayer. I'm not even sure at this point if a person that is lukewarm on Trump is going to do very well,' Kaufmann told CNN. But, he said, voters there have 'a high tolerance for debate.' 'As long as they explain themselves — and in Iowa, they're going to have a chance to do that — and as long as they are methodical and the underlying basis is conservative, come to Iowa,' Kaufmann said. 'Everybody is going to get an honest look.' That tolerance for debate was on display Thursday night in Cedar Rapids, when Paul received a friendly applause even after delivering a speech criticizing Trump's tariffs and staking out his opposition to the 'big, beautiful bill' that contains much of Trump's agenda. The Kentucky senator said he opposes the measure's debt ceiling hike and wants to see overall spending levels drastically reduced. Doug Dix, a retired banker who lives in Hiawatha who attended Paul's speech Thursday night in Cedar Rapids, said he agrees with Paul's positions on principle, but doesn't want to see Trump's agenda thwarted. 'I'm looking for somebody that wins and gets things done,' he said. 'Let's see if they get it done. I don't think Rand Paul's going to prevent it from getting it done.' 'Get the bill done. Get it on his desk,' Dix said. Many Republicans said they are frustrated — not with Senate conservatives yet, but with judges, Democrats and the media, which they described as playing much larger roles in impeding Trump. Tim Striley, the chairman of the Clinton County Republican Party, said Friday the intra-party debates over the bill are 'healthy.' More frustrating, he said, are court rulings blocking Trump's actions. 'You've got to give the man a chance to govern,' he said. 'They didn't do that the first time.' Bonnie Powell, a retired nurse in Davenport, said she'd like to see Republicans on Capitol Hill back Trump. 'It gets frustrating,' she said. 'But no matter how frustrating, Republicans aren't near at the level of disagreeing as the other party.' Her husband Steve Powell added: 'Rand Paul, I've always liked him, but I don't agree with him on this. … He's only one vote. He's not going to make the difference.' 'I'd like to see them follow through with what Trump's already started,' he said.
CBS News
23 minutes ago
- CBS News
Iran has increased its stockpile of near weapons-grade uranium, nuclear watchdog says
Where U.S. and Iran still stand apart on nuclear talks Where U.S. and Iran stand apart on nuclear talks Where U.S. and Iran stand apart on nuclear talks Iran has further increased its stockpile of uranium enriched to near weapons-grade levels, a confidential report by the United Nations nuclear watchdog said Saturday, and called on Tehran to urgently change course and comply with the agency's probe. The report comes at a sensitive time as Tehran and Washington have been holding several rounds of talks in the past weeks over a possible nuclear deal that U.S. President Donald Trump is trying to reach. The report by the Vienna-based International Atomic Energy Agency — which was seen by The Associated Press — says that as of May 17, Iran has amassed 900.8 pounds of uranium enriched up to 60%. That's an increase of 294.9 pounds — or almost 50% — since the IAEA's last report in February. The 60% enriched material is a short, technical step away from weapons-grade levels of 90%. A report in February put this stockpile level at 605.8 pounds. There was no immediate comment from Tehran on the new IAEA report. The IAEA report raised a stern warning, saying that Iran is now "the only non-nuclear-weapon state to produce such material" — something the agency said was of "serious concern." Rafael Mariano Grossi, the director-general of the International Atomic Energy Agency, speaks to journalists attending a weeklong seminar at the agency in Vienna, Austria, Wednesday, May 28, 2025. Jon Gambrell / AP Approximately 92.5 pounds of 60% enriched uranium is theoretically enough to produce one atomic bomb, if enriched further to 90%, according to the watchdog. The IAEA report, a quarterly, also estimated that as of May 17, Iran's overall stockpile of enriched uranium — which includes uranium enriched to lower levels — stood at 20,387.4 pounds. That's an increase of 2,101.4 pounds since February's report. Iran's nuclear program Iran has maintained its nuclear program is for peaceful purposes only, but the IAEA chief, Rafael Mariano Grossi, has warned that Tehran has enough uranium enriched to near-weapons-grade levels to make "several" nuclear bombs if it chose to do so. Iranian officials have increasingly suggested that Tehran could pursue an atomic bomb. U.S. intelligence agencies assess that Iran has yet to begin a weapons program, but has "undertaken activities that better position it to produce a nuclear device, if it chooses to do so." Israel said Saturday's report was a clear warning sign that "Iran is totally determined to complete its nuclear weapons program," according to a statement from Prime Minister Benjamin Netanyahu's office. It said IAEA's report "strongly reinforces what Israel has been saying for years — the purpose of Iran's nuclear program is not peaceful." It also added that Iran's level of enrichment "has no civilian justification whatsoever" and appealed on the international community to "act now to stop Iran." It is rare for Netanyahu to make statements on Saturday, the Jewish day of rest, underlying the urgency with which he sees the matter. Grossi said Saturday that he "reiterates his urgent call upon Iran to cooperate fully and effectively" with the IAEA's years-long investigation into uranium traces discovered at several sites in Iran. The IAEA also circulated to member states on Saturday a second, 22-page confidential report, also seen by the AP, that Grossi requested following a resolution passed by the 35-member IAEA Board of Governors last November. In this so-called "comprehensive report," the IAEA said that Iran's cooperation with the agency has "been less than satisfactory" when it comes to uranium traces discovered by IAEA inspectors at several locations in Iran that Tehran has failed to declare as nuclear sites. Western officials suspect that the uranium traces discovered by the IAEA could provide evidence that Iran had a secret military nuclear program until 2003. One of the sites became known publicly in 2018 after Netanyahu revealed it at the United Nations and called it a clandestine nuclear warehouse hidden at a rug-cleaning plant. Iran denied this but in 2019 IAEA inspectors detected the presence of manmade uranium particles there. After initially blocking IAEA access, inspectors were able to collect samples in 2020 from two other locations where they also detected the presence of manmade uranium particles. The three locations became known as Turquzabad, Varamin, and Marivan. A fourth undeclared location named as Lavisan-Shian is also part of the IAEA probe but IAEA inspectors never visited the site because it was razed and demolished by Iran after 2003. In Saturday's comprehensive report, the IAEA says that the "lack of answers and clarifications provided by Iran" to questions the watchdog had regarding Lavisan-Shian, Varamin and Marivan "has led the agency to conclude that these three locations, and other possible related locations, were part of an undeclared structured nuclear program carried out by Iran until the early 2000s and that some activities used undeclared nuclear material." FILE - The flag of the International Atomic Energy Agency flies in front of its headquarters during an IAEA Board of Governors meeting in Vienna, Austria, on Feb. 6, 2023. Heinz-Peter Bader / AP How the world could react to U.N. report Saturday's comprehensive report could be a basis for possible further steps by European nations, leading to a potential escalation in tensions between Iran and the West. European countries could move to trigger snap-back sanctions against Iran that were lifted under the original 2015 nuclear deal ahead of October, when the deal formally expires. On Thursday, senior Iranian officials dismissed speculation about an imminent nuclear deal with the United States, emphasizing that any agreement must fully lift sanctions and allow the country's nuclear program to continue. The comments came a day after Trump said he has told Netanyahu to hold off on striking Iran to give the U.S. administration more time to push for a new deal with Tehran. Trump said on Friday that he still thinks a deal could be completed in the "not too distant future." "They don't want to be blown up. They would rather make a deal," Trump said of Iran. He added, "That would be a great thing that we could have a deal without bombs being dropped all over the Middle East."
