Image by PM Images/Getty Images; Illustration by Hunter Newton/Bankrate
Current mortgage rates
| Loan type | Current | 4 weeks ago | One year ago | 52-week average | 52-week low |
|---|---|---|---|---|---|
| 30-year | 6.25% | 6.39% | 6.88% | 6.78% | 6.25% |
| 15-year | 5.50% | 5.60% | 6.13% | 5.98% | 5.50% |
| 30-year jumbo | 6.44% | 6.38% | 6.80% | 6.80% | 6.31% |
The 30-year fixed mortgages in this week’s survey had an average total of 0.33 discount and origination points. Discount points are a way to lower your mortgage rate, while origination points are fees lenders charge to create, review and process your loan.
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Monthly mortgage payment at today’s rates
The national median family income for 2025 is $104,200, according to the U.S. Department of Housing and Urban Development, and the median price of an existing home sold in September 2025 was $415,200, according to the National Association of Realtors. Based on a 20 percent down payment and a 6.25 percent mortgage rate, the monthly payment of $2,045 amounts to 24 percent of the typical family’s monthly income.
“While lower rates will bring some buyers and sellers into the market, [a] cut will not be enough to break up the housing market logjam,” says Lisa Sturtevant, chief economist at Bright MLS, a listing service in the Mid-Atlantic region. “We will need to see further drops in mortgage rates and much slower home price growth, or even home price declines, to make a dent in affordability.”
What will happen to mortgage rates in the rest of 2025?
The Federal Reserve on Wednesday cut rates for the second time this year, trimming its benchmark rate. “The initial reaction in bonds is muted, and mortgage rates are steady,” said Melissa Cohn of William Raveis Mortgage.
Still, mortgage rates are at their lowest levels of the year, according to Bankrate’s national survey of lenders. They were at 6.20 percent in early October of last year before shooting up in late 2024 and early 2025.
While the Fed decided to leave the federal funds rate untouched for most of 2025, Fed Chairman Jerome Powell finally acted at the central bank’s Sept. 17 meeting. A tepid jobs report seemed to seal the deal. Even so, fixed mortgage rates are not set directly by the Fed but by investor appetite, particularly for 10-year Treasury bonds. When there’s uncertainty in the market, investors buy Treasury bonds, which in turn drives yields — and, often, mortgage rates — downward.
Meanwhile, the U.S. economy seems to be losing steam. President Donald Trump’s tariff policies have been blamed for an increase in inflation, which moved up to 3 percent in September, making little progress toward the Fed’s inflation target of 2 percent. The 10-year Treasury yield was just above 4 percent as of Wednesday afternoon.
One major question mark is the job market, which has been showing signs of weakness. Another risk is the political climate — the federal government’s shutdown has been dragging on.
“With the U.S. federal government shutdown continuing, my sense is that confidence about the U.S. economic outlook is being undermined,” says Mark Hamrick, Bankrate’s senior economic analyst.
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