Current Mortgage Rates by Loan Type and Term

Rates for 30-Year Fixed Mortgages

The 30-year fixed mortgage is a common choice because it offers a predictable monthly payment over a long term. Rates for this product vary depending on your credit profile and other factors.

The CFPB notes that lenders' interest rate offers vary based on credit score, down payment, loan term, and loan type.

Sources: Consumer Financial Protection Bureau

Rates for 15-Year Fixed Mortgages

A 15-year fixed mortgage typically comes with a shorter repayment period, which can mean lower total interest costs over time, but higher monthly payments compared to a 30-year loan.

As always, your individual rate will depend on your credit score, down payment, and lender.

Sources: Consumer Financial Protection Bureau

Rates for Adjustable-Rate Mortgages (ARMs)

Adjustable-rate mortgages (ARMs) have interest rates that can change over time. They often start with a lower initial rate than fixed-rate mortgages, but the rate can adjust periodically based on market conditions.

The CFPB's rate data does not provide specific ARM rate ranges, but ARMs are generally available and their rates are typically tied to an index plus a margin. The initial rate is often lower than the average fixed rate, but it can rise over time.

Before choosing an ARM, it's important to understand the adjustment periods, caps, and how much your rate could change in the future.

Sources: Consumer Financial Protection Bureau

Rates for FHA, VA, and Jumbo Loans

FHA (Federal Housing Administration), VA (Department of Veterans Affairs), and jumbo loans are specialized mortgage products that may have different rate structures compared to conventional loans.

It's important to note that FHA loans require mortgage insurance premiums, and VA loans may have a funding fee, which can affect the overall cost of the loan even if the interest rate appears competitive.

Jumbo loans are for amounts exceeding conforming loan limits and may carry different rates; you'll need to check with lenders for current jumbo rate quotes.

Sources: Consumer Financial Protection Bureau

How These Rates Are Sourced and Updated

The rate ranges provided on this page are based on data from the Consumer Financial Protection Bureau's 'Explore interest rates' tool, as of April 1, 2025. This tool includes loan offers from multiple lenders and is updated periodically.

Mortgage rates move frequently, often daily, in response to market conditions and economic data. The rates you see here are a snapshot from a specific date and may not reflect current market conditions.

For the most up-to-date rates, you should check with multiple lenders or a mortgage broker, as rates can vary by lender and by your individual circumstances.

Sources: Consumer Financial Protection Bureau

Average Mortgage Rate

The term 'average mortgage rate' is used in different ways, but it typically refers to a benchmark that summarizes rates offered by lenders across the market. One specific benchmark is the 'average prime offer rate' (APOR), which is defined in Regulation Z and used to identify higher-priced mortgage loans.

The Consumer Financial Protection Bureau describes the average prime offer rate as a benchmark used to identify higher-priced mortgage loans, as defined in Regulation Z § 1026.35(a)(2).

It's important to understand that the 'average' rate is not the same as the rate you'll be offered. Your personal rate depends on your creditworthiness, down payment, loan term, and loan type.

Sources: Consumer Financial Protection Bureau

Average Rates by Loan Type

Average mortgage rates can vary by loan type. Fixed-rate mortgages, ARMs, FHA, VA, and jumbo loans all have different rate structures, and the averages reflect those differences.

The average rate you see quoted in the news is often based on a particular loan type (such as a 30-year fixed) and a specific borrower profile.

Sources: Consumer Financial Protection Bureau

Regional Variations

Mortgage rates can vary by state and even by local market. This is because lender competition, local economic conditions, and state-specific regulations can influence the rates offered.

The CFPB's Explore interest rates tool does not provide state-level data, so specific regional averages are not available from this source.

To see rates in your area, you can use online rate tools or contact local lenders who can provide quotes based on your location.

Sources: Consumer Financial Protection Bureau

How Lenders Determine Your Rate

Lenders set mortgage interest rates based on a variety of factors, including your credit score, down payment, loan term, and loan type. They also consider current market conditions and their own business costs.

The Consumer Financial Protection Bureau highlights that lenders' interest rate offers vary based on these borrower attributes (credit score, down payment, loan term, loan type).

Your individual rate is also influenced by discount points (prepaid interest) you may choose to buy, as well as the specific terms of your loan.

Sources: Consumer Financial Protection Bureau

Using Average Rates as a Benchmark

Average mortgage rates can serve as a useful benchmark when shopping for a mortgage. By comparing the average rate for your loan type and term, you can see whether the offers you receive are in a reasonable range.

The CFPB's Explore interest rates tool provides rate ranges for different borrower profiles, which can help you understand what rates are commonly offered to people with similar credit and down payment profiles.

Keep in mind that the average is a snapshot and does not reflect the exact offer you'll receive. Your rate may be higher or lower depending on your specific financial situation and the lender you choose.

Sources: Consumer Financial Protection Bureau

Overview of Mortgage Rate History

Mortgage rates have seen significant swings in recent years, impacting home affordability for many buyers.

According to the Consumer Financial Protection Bureau, mortgage interest rates reached a historical low of 2.65% in January 2021. They then climbed to a peak of 7.79% in October 2023, before easing to around 6.2% in September 2024.

These changes have a substantial impact on monthly payments. For example, the mortgage payment on a $400,000 loan rose from $1,612 per month in January 2021 to $2,877 per month in October 2023—a 78% increase due to higher interest rates.

Sources: Consumer Financial Protection Bureau

Key Factors Driving Rate Movements

Mortgage interest rates are influenced by a range of economic factors, including inflation, the Federal Reserve's policy, and the bond market.

The Consumer Financial Protection Bureau notes that changes in interest rates affect housing affordability, and it tracks these movements to understand their impact on consumers.

Sources: Consumer Financial Protection Bureau

Current Level

As of September 2024, the average 30-year fixed mortgage rate was around 6.2%, according to the CFPB. This was down from the peak of 7.79% in October 2023.

For the most current rates, you should check with lenders directly.

Sources: Consumer Financial Protection Bureau

Economic Indicators

Economic indicators such as inflation and the Federal Reserve's short-term interest rate decisions can influence mortgage rates. When inflation is high, mortgage rates tend to rise because lenders demand higher returns to offset the eroding purchasing power of future payments.

The CFPB's data shows that rate movements correlate with broader economic conditions. For example, the rise from 2.65% in January 2021 to 7.79% in October 2023 coincided with a period of high inflation and Federal Reserve rate hikes.

To stay informed, you can follow housing market reports and financial news that track these indicators.

Sources: Consumer Financial Protection Bureau

Interpreting Trends for Your Mortgage Decision

Mortgage rate trends can help you time your home purchase or refinance, but it's important not to try to time the market perfectly.

The CFPB's data shows that rates have moved significantly in recent years, which underscores the importance of shopping around for the best rate you can qualify for.

A higher rate can substantially increase your monthly payment and the total interest you pay. For example, the CFPB calculated that the payment on a $400,000 loan rose 78% from January 2021 to October 2023 as rates moved from 2.65% to 7.79%.

Ultimately, your decision should be based on your financial situation and long-term goals, not just the direction of rates.

Sources: Consumer Financial Protection Bureau

Understanding What Lenders Offer

Lenders may advertise attractive mortgage rates, but the rate you actually receive can differ based on your credit score, down payment, loan term, and loan type.

It's essential to compare offers from multiple lenders, as each may offer different rates and closing costs.

Sources: Consumer Financial Protection Bureau

Improving Your Credit Profile

Your credit score is a key factor in determining your mortgage rate. Generally, borrowers with higher credit scores are offered lower rates.

The CFPB's data illustrates this: a borrower with a 700 credit score could see offers ranging from 5.875% to 8.125% for a 30-year fixed mortgage, while a borrower with a 625 credit score could see offers from 6.125% to 8.875%. The lower end of the range for the higher credit score is lower.

Improving your credit score before applying for a mortgage can help you qualify for a better rate.

Sources: Consumer Financial Protection Bureau

Saving for a Larger Down Payment

A larger down payment can reduce your loan-to-value ratio, which may result in a lower mortgage rate because you're borrowing less relative to the home's value.

The CFPB notes that down payment is one of the factors lenders consider when pricing a loan.

If you can save a larger down payment, you may be able to secure a more favorable rate, depending on lender policies.

Sources: Consumer Financial Protection Bureau

Choosing the Right Loan Term

The loan term you choose affects your interest rate and monthly payment. Shorter-term loans typically have lower rates but higher monthly payments, as the loan is paid off faster.

Consider your monthly budget and long-term financial goals when deciding between loan terms.

Sources: Consumer Financial Protection Bureau

Comparing Offers and Negotiating

Comparing offers from multiple lenders is one of the most effective ways to get a better mortgage rate. Rates can vary by lender, even for the same borrower profile.

When you receive offers, compare not only the interest rate but also the annual percentage rate (APR), which includes fees and prepaid interest. A lower APR may indicate a better overall deal.

Negotiating with lenders can also help you secure a better rate, especially if another lender has offered a more competitive deal.

Sources: Consumer Financial Protection Bureau