Compare current mortgage rates for today

Mortgage fall from 6.5% level

The average rate for 30-year home loans dipped to 6.34% last week, according to Bankrate's national survey of lenders. That was down from 6.40% the previous week.

Mortgage rates are well below the 7% levels of early 2025, but they’ve jumped from their 2026 low of 6.09%. Increasing oil prices caused by the Iran war, and the resulting inflation, are major factors. The Federal Reserve has pointed to persistent inflation as one reason why it has been reluctant to cut its benchmark rate. 

The Labor Department reported that the consumer price index was up 3.3% for March, the highest level of inflation in more than two years and well above the Fed’s 2% target.

Meanwhile, home sales remain stubbornly soft. In March, sales volumes fell below 4 million homes annually, the National Association of Realtors reported. It was the slowest pace of March sales since March 2009, when the economy had fallen into the Great Recession.

And there’s no sign that sales volumes are poised to bounce back in the near future. The National Association of Realtors reported Tuesday that pending home sales for March were down 1.1% from a year ago. In an uncertain economy, consumers clearly are skittish.

“People are much more careful in pulling the trigger,” says Melissa Cohn of William Raveis Mortgage. “I have a large number of people who continue to extend their preapproval letters.” 

What’s the best advice for borrowers? First, don’t sweat these rate movements too much. Yes, mortgage rates are a quarter-point higher than they were a couple months ago, but this increase is a hiccup rather than a major setback to your homebuying plans. And depending on where in the U.S. you’re shopping, you might have a multitude of choices and plenty of negotiating leverage. Texas and Florida are now buyer’s markets — although parts of the Northeast and Midwest remain strong seller’s markets.

Learn more: Weekly mortgage rate trend predictions

The rates you see advertised here might not match the rate you're offered. That’s because mortgage rates are influenced by personal factors, like your down payment and your debt. And different lenders may offer you different mortgage rates and fees based on their business needs. 

That’s why it’s important to shop with multiple lenders — it can save you over $1,000 a year, according to research from Freddie Mac.

Here’s how to compare mortgage rates:

• Ensure you’re comparing the same loan type. If one rate is significantly higher or lower than another, make sure it’s for the same type of product. A government-backed loan, like an FHA or VA loan, won’t have the same rate as a conventional mortgage.
• Consider APR and mortgage rate. Your interest rate is one cost of borrowing money, but your APR includes that as well as other fees associated with your loan, making it a more complete picture of the actual cost. Some lenders charge lower rates on mortgages, but higher fees.
• Get quotes from different types of lenders. You may find different costs from a local bank or credit union compared with a national bank or an online lender. 

How your mortgage rate affects your monthly payment

Your mortgage rate impacts how much you pay month to month — sometimes by a lot. For this example, we’re using the principal and interest payment on a $400,000 house, assuming 20% down and a 30-year fixed-rate mortgage.

As you can see, every increase of half a percentage point between 5% and 7% changes the monthly payment by around $100. On a yearly basis, that’s a difference of $1,200. For more expensive homes, this difference is even larger.

How your mortgage rate is determined

Your mortgage rate depends on a number of factors, including your individual credit profile and what’s happening in the broader economy. These include:

• Your lender: Lenders set rates based on many factors, including their own supply and demand.
• Your credit and finances: The better your credit score and the higher your income compared to your debt, the better the interest rate you’ll likely get.
• Your loan size and type: The size of your loan, your down payment and the type of loan all affect your mortgage rate. For example, making a bigger down payment typically earns you a lower mortgage rate, as it reduces the lender’s risk. 
• Economic factors: Broadly, mortgage rates are impacted by forces like the Federal Reserve, inflation and investor appetite.
• Mortgage points: Also known as discount points, these are upfront fees you can pay to reduce your interest rate. Decide whether they're worth it with our guide to mortgage points.

How to refinance your current mortgage

Before you start applying for a mortgage, here are some mortgage resources to prepare you for the process: