Latest news with #homebuyers
CNET
an hour ago
- Business
- CNET
30-Year Fixed-Rate Mortgage Decreases: Mortgage Interest Rates Today for Aug. 1, 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. The average 30-year fixed mortgage interest rate is 6.72% today, a decrease of -0.03% over the last week. The average rate for a 15-year fixed mortgage is 5.97%, which is an increase of 0.06% compared to a week ago. You could get a lower mortgage interest rate by making a higher down payment, improving your credit score or buying mortgage points. Mortgage rates have stayed high in 2025. Concerns about persistent inflation, threats of a global trade war and policy turbulence have created an uncertain economic outlook. In response, the Federal Reserve has adopted a wait-and-see approach and opting to keep interest steady so far in 2025. Most economists predict the Fed will start lowering rates in September, particularly if President Trump eases some of his aggressive tariff measures or if the labor market continues to deteriorate. Prospective homebuyers shouldn't expect mortgage rates to become affordable overnight. While cheaper borrowing costs gradually trickle down to the housing market, the Fed doesn't directly set lenders' mortgage rates. In today's unaffordable housing market, mortgage rates are just one piece of the puzzle. High home prices and skyrocketing homeownership expenses, like insurance and property taxes, are further compounding the pressure on prospective buyers. The possibility of a job-loss recession is also pushing many households to tighten their budgets and take on less financial risk. 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. Where mortgage rates are headed this summer Average 30-year fixed mortgage rates have remained between 6.5% and 7% for the last several months. Mortgage rates primarily take their cues from the 10-year Treasury yield, which reflects investors' collective expectations regarding inflation, labor market health, upcoming monetary policy shifts and the impact of global factors like tariffs. If investors anticipate persistently high inflation or significant government borrowing, they'll demand higher returns on their bonds, which in turn keeps mortgage rates elevated. "Rates could fall if inflation keeps cooling and the labor market softens," said Jeb Smith, licensed real estate agent and member of CNET Money's expert review board. "On the other hand, tariffs could create new inflation pressure. Add in government deficits and increased bond supply, and that puts upward pressure on rates." Even as the Fed eventually starts to reduce borrowing rates, experts warn of a lot more volatility in the market. As a result, homebuyers are being more patient and strategic about financing, comparing different loan types and planning ahead. "Some are waiting, others are getting pre-approved now so they're ready to act if rates fall," said Smith. For a look at mortgage rate movement in recent years, see the chart below. Where are mortgage rates headed? While the housing market was expected to rebound in 2025, it has remained stagnant due to ongoing economic and political uncertainties. Median family income has not kept pace with the surge in housing costs, requiring many households to earn double or triple their salary to afford a modest home in some cities. Mortgage rates would have to drop significantly, close to 6% or below, to drum up significant homebuying demand. But according to Smith, the more likely scenario is for home loan rates to gradually decrease over the rest of this year and next. A return to the record-low rates, around 2-3%, we saw during the pandemic would only happen if the economy tipped into a severe recession. Fannie Mae's forecast puts rates around 6.5% by the end of 2025 and 6.1% by the end of 2026. Experts say numerous risks could keep upward pressure on mortgage rates. For instance, if tariffs cause inflation to reignite, which most experts and Fed officials expect, it could result in higher bond yields and fewer interest rate cuts by the central bank. Both would be bad for mortgage rates. What is a good mortgage type and 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 6.72% 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 5.97%. 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 adjustable-rate mortgage has an average rate of 6.04% 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. How can I get the lowest 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.
Daily Telegraph
9 hours ago
- Entertainment
- Daily Telegraph
New York mansion hits market with awkward photos
A lavish resort-style New York mansion is attracting attention after hitting the market – but for all the wrong reasons. With 12 bedrooms and 10 bathrooms, the Sullivan County residence is worthy of a gander whether you're interested in buying or not. You could be forgiven for quickly getting distracted by the poorly photoshopped images in several of the listing photos though. MORE: Update on ghostly Sydney mall left empty for years Reddit users were quick to comment on the awkwardly-placed images, which include bikini-clad women by the pool, over-posed couples on the deck and in the foyer, and a helicopter hovering over the property towards a bright red and blue helipad. 'It looks more like someone gave a kid some magazines and pair of scissors,' one said. 'That's so bad. I've seen middle school yearbook staffers do better,' another wrote. 'I love that the couple in the foyer seem to be floating. I guess it's because they have so much money?' one joked. Some were shocked by the images, with one saying they'd be 'cranky if I owned a $10 million house and this was how it was marketed', but many others saw the humour in it. 'I 100 per cent thought the poster was being funny and photoshopped it,' one person said. 'It's kind of genius in a forced virality kind of way. I wouldn't have seen the beautiful house if not for the silliness,' said another. MORE: Huge profits as 20-year home move expires One person even did some further research, discovering the agent has several listings with a 'sprinkle of clip art scattered unnecessarily through' their photos, including a truck placed on vacant land and deer by water. 'It actually worked because I scrolled his listings so maybe it's smart marketing,' they said. Photos aside, the 1999-built mansion is impressive, with grand interiors and an enviable outdoor entertainment area. The property spans more than 12ha and also includes a four-bedroom guesthouse and a caretakers apartment over the barn. It is listed with a $9,999,999 price guide.
Al Arabiya
17 hours ago
- Business
- Al Arabiya
Average rate on a 30-year mortgage eases again, offering modest relief for home shoppers
The average rate on a 30-year US mortgage eased to where it was three weeks ago modest relief for prospective homebuyers challenged by rising home prices and stubbornly high borrowing costs. The long-term rate slipped to 6.72 percent from 6.74 percent last week mortgage buyer Freddie Mac said Thursday. A year ago the rate averaged 6.73 percent. Borrowing costs on 15-year fixed-rate mortgages popular with homeowners refinancing their home loans also eased. The average rate dropped to 5.85 percent from 5.87 percent last week. A year ago it was 5.99 percent Freddie Mac said. Elevated mortgage rates continue to weigh on the US housing market which has been in a sales slump going back to 2022 when rates started to climb from the rock-bottom lows they reached during the pandemic. Mortgage rates are influenced by several factors from the Federal Reserve's interest rate policy decisions to bond market investors' expectations for the economy and inflation. The main barometer is the 10-year Treasury yield which lenders use as a guide to pricing home loans. The yield was at 4.34 percent at midday Thursday down from 4.37 percent late Wednesday. Yields moved higher most of July as traders bet that the Fed would keep its key short-term interest rate unchanged at its meeting this month. On Wednesday the central bank's policymaking committee voted to hold its main interest rate steady. And Fed Chair Jerome Powell pushed back on expectations that the Fed could cut rates at its next meeting in September pointing to how inflation remains above the Fed's 2 percent target while the job market still looks to be in balance. A cut in rates would give the job market and overall economy a boost but it could also fuel inflation just as the Trump administration's tariffs risk raising prices for US consumers. If a September rate cut starts to be more likely it is possible that we could see mortgage rates edge downward at the end of the summer similar to what we saw last year at this time said Lisa Sturtevant chief economist at Bright MLS. If inflation expectations continue to be high mortgage rates could also remain higher.
Yahoo
17 hours ago
- Business
- Yahoo
Average rate on a 30-year mortgage eases again, offering modest relief for home shoppers
The average rate on a 30-year U.S. mortgage eased to where it was three weeks ago, modest relief for prospective homebuyers challenged by rising home prices and stubbornly high borrowing costs. The long-term rate slipped to 6.72% from 6.74% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 6.73%. Shop Top Mortgage Rates Personalized rates in minutes Your Path to Homeownership A quicker path to financial freedom Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also eased. The average rate dropped to 5.85% from 5.87% last week. A year ago, it was 5.99%, Freddie Mac said. Elevated mortgage rates continue to weigh on the U.S. housing market, which has been in a sales slump going back to 2022, when rates started to climb from the rock-bottom lows they reached during the pandemic. Mortgage rates are influenced by several factors, from the Federal Reserve's interest rate policy decisions to bond market investors' expectations for the economy and inflation. The main barometer is the 10-year Treasury yield, which lenders use as a guide to pricing home loans. The yield was at 4.34% at midday Thursday, down from 4.37% late Wednesday. Yields moved higher most of July as traders bet that the Fed would keep its key short-term interest rate unchanged at its meeting this month. On Wednesday, the central bank's policymaking committee voted to hold its main interest rate steady. And Fed Chair Jerome Powell pushed back on expectations that the Fed could cut rates at its next meeting in September, pointing to how inflation remains above the Fed's 2% target, while the job market still looks to be 'in balance.' A cut in rates would give the job market and overall economy a boost, but it could also fuel inflation just as the Trump administration's tariffs risk raising prices for U.S. consumers. 'If a September rate cut starts to be more likely, it is possible that we could see mortgage rates edge downward at the end of the summer, similar to what we saw last year at this time,' said Lisa Sturtevant, chief economist at Bright MLS. 'If inflation expectations continue to be high, mortgage rates could also remain higher.' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Washington Post
17 hours ago
- Business
- Washington Post
Average rate on a 30-year mortgage eases again, offering modest relief for home shoppers
The average rate on a 30-year U.S. mortgage eased to where it was three weeks ago, modest relief for prospective homebuyers challenged by rising home prices and stubbornly high borrowing costs. The long-term rate slipped to 6.72% from 6.74% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 6.73%.
