Following a two-day climb, the 30-year mortgage rate declined for two days, slipping below the 7% mark. As of Wednesday, the rate average was 6.91%. The decline was also noted in many other mortgage types.
Given that rates can largely differ across lenders, clients are advised to always explore multiple lenders to find their best mortgage rate and to regularly compare rates, regardless of the type of home loan in consideration.
On both Tuesday and Wednesday, the 30-year mortgage rate average saw a drop, lowering an overall 9 basis points to record a 6.91% average. This is notably better than the mid-April high of 7.14%, the highest rate since May 2024.
Historically, 30-year rates plunged in September hitting a two-year low of 5.89%, almost a whole percentage point lower than today's rates. Despite this, the current average shows significant improvement compared to late 2023, when rates shot up to an all-time 23-year high of 8.01%.
15-year mortgage rates dropped for a second day on Wednesday, going below 6% to an average of 5.97%. This decrease makes them 34 basis points cheaper than the April 11 percent, which marked its annual high. In September, 15-year rates fell to a two-year low of 4.97%. Although the current 15-year average is high, it is significantly lower than the historical 23-year high of 7.08% from October 2023.
Meanwhile, jumbo 30-year mortgage rates decreased by 6 basis points on Wednesday, settling at an average of 6.88%. This rate presents a notable decrease from the 7.15% average three weeks ago, a 10-month high.
Government-sponsored Freddie Mac, which purchases mortgage loans, publishes 30-year mortgage rates weekly. The current reading remained static at 6.76%, having dropped 7 basis points over the preceding two weeks.
To provide a more accurate and timely reflection of rate movement, Investopedia"s 30-year average is updated daily, in contrast to Freddie Mac's weekly average. Furthermore, the criteria set for loans included varies between Freddie Mac and Investopedia's approach.
The mortgage rates shared in this report serve as an indicator and not a direct comparison to teaser rates advertised online. Variables such as credit scores, income, and others significantly affect the final secured rate, so it can differ from the averages shared. The mortgage rates are influenced by a complex mix of macroeconomic and industry factors.
Major economic factors played a significant role in maintaining lower mortgage market values for most of 2021. Notably, the Federal Reserve's decision to buy billions of dollars worth of bonds in response to pandemic-induced economic stress had been a strong influence.
However, starting from November 2021, the Federal Reserve gradually reduced its bond purchases, eventually ceasing entirely by March 2022. This decision, along with the Federal Reserve's aggressive measures against high inflation over the years that followed, led to a significant increase in mortgage rates.
In September 2025, the Fed announced its first-rate cut of 0.50 percentage points since the peak in July 2023.
The national and state averages mentioned in the report are derived from the Zillow Mortgage API, with an assumed loan-to-value ratio of 80% and an applicant credit score range of 680–739. It is important to note that the resulting rates are subject to individual borrowers' qualifications and possible variation from advertised teaser rates.