How to Interpret the Rates Shown
Mortgage interest rates are the cost you will pay each year to borrow the money, expressed as a percentage rate. They do not reflect fees or other charges. The annual percentage rate (APR) is a broader measure of the cost of borrowing money than the interest rate, reflecting the interest rate, points, mortgage broker fees, and other charges.
The rates shown on this page are national averages compiled from major surveys, such as those from Freddie Mac. They are not personalized quotes. Your own rate will depend on your credit score, loan size, down payment, and lender. Always compare rates from multiple sources and use the APR to compare the total cost of different loan offers.
- Interest rate: the cost of borrowing, expressed as a percentage, not including fees.
- APR: the broader measure of loan cost, including fees and points.
- National averages are a starting point; your rate may differ based on your financial profile.
Sources: Consumer Financial Protection Bureau
Average Rates for 30-Year Fixed, 15-Year Fixed, and 5/1 ARM
A fixed-rate mortgage has an interest rate that does not change, and the monthly principal and interest payment stays the same. A 5/1 ARM is a mortgage loan where the interest rate is fixed for the first five years and then adjusts annually. Shorter loan terms, such as a 15-year fixed, typically have lower interest rates than longer terms like a 30-year fixed, but have higher monthly payments.
The table below provides a historical reference point from September 2024, based on CFPB data. For up-to-date rates, consult authoritative sources listed in the final section. National averages are not personalized quotes.
| Loan type | Rate reference |
|---|---|
| 30-year fixed | Around 6.2% |
| 15-year fixed | Typically lower than 30-year fixed |
| 5/1 ARM |
Sources: Consumer Financial Protection Bureau
Comparison and a year ago
To provide context, mortgage rates have changed over the past year. According to Freddie Mac data referenced by the CFPB, mortgage interest rates peaked at 7.79% in October 2023 and eased to around 6.2% in September 2024.
The table below shows the 30-year fixed rate at two points in time, reflecting that historical trend.
| Time period | 30-year fixed rate |
|---|---|
| October 2023 (peak) | 7.79% |
| September 2024 (recent) | Around 6.2% |
Sources: Consumer Financial Protection Bureau
What Factors Are Influencing Today's Rates
Multiple factors influence mortgage rates. According to the CFPB, as of September 2024, the Federal Reserve's retreat from purchasing mortgage-backed securities and changes in expected prepayment speeds have contributed to an increased spread between 10-year Treasuries and mortgage securities. This spread had narrowed from a year earlier but remained higher than pre-pandemic levels.
Additionally, macroeconomic conditions such as inflation and employment data can drive rate movements. The CFPB reports that higher interest rates and home prices have decreased housing affordability, increasing the principal and interest payment on a $400,000 loan by over $1,200 from trough to peak.
Sources: Consumer Financial Protection Bureau
Limitations of National Averages
National average rates are useful for tracking market trends, but they have limitations. They are not personalized quotes and do not reflect the rate you may be offered. Your specific rate will depend on your credit score, loan-to-value ratio, debt-to-income ratio, and the lender you choose.
Different surveys (Freddie Mac, Bankrate, Zillow) may report different averages due to methodology differences. Always compare multiple sources and use the APR to evaluate loan offers. The CFPB's Explore Rates tool can help you see estimated rates based on your situation.
Sources: Consumer Financial Protection Bureau
Where to Find Authoritative Daily Updates
For the most current mortgage rate data, you can refer to several authoritative sources that update regularly:
Freddie Mac's Primary Mortgage Market Survey (PMMS) is released every Thursday and provides weekly average rates for 30-year and 15-year fixed-rate mortgages.
The Consumer Financial Protection Bureau (CFPB) offers the Explore Rates tool, which provides interactive data on mortgage rates, though it may not be updated daily.
Other major rate aggregators like Bankrate and Zillow offer daily rate information, but their methodologies may differ.
- Freddie Mac PMMS: weekly averages for 30-year and 15-year fixed.
- CFPB Explore Rates: interactive tool with rate ranges based on borrower profiles.
- Bankrate/Zillow: daily rate updates, but methodology differs.
Sources: Consumer Financial Protection Bureau
Frequently asked questions
How often are these rates updated?
The national average rates on this page are based on the latest Freddie Mac Primary Mortgage Market Survey, which is released weekly, typically on Thursdays. Daily rate movements may occur between survey dates, and your lender's quoted rate can change at any time based on market conditions.
Sources: Consumer Financial Protection BureauWhy do the rates differ from what lenders quote me?
Lenders quote rates based on your specific financial profile, including your credit score, loan amount, down payment, and debt-to-income ratio. They may also charge points or fees that affect the APR. Therefore, the rate you receive can be higher or lower than the national average.
Sources: Consumer Financial Protection BureauShould I lock in a rate today or wait?
We cannot predict future rate movements. The decision to lock a rate depends on your personal circumstances and market outlook. If you are risk-averse and prefer certainty, locking may be appropriate. If you are willing to take a risk, you might wait. Talk to your lender about the option to float the rate and lock later. Remember that rates can change daily, and no one can guarantee future rates.
What is a good mortgage rate right now?
A 'good' rate depends on your situation and the current market. As of September 2024, the national average for a 30-year fixed was around 6.2%. Rates below this average may be considered good if you have a strong credit profile. However, it is more important to compare APRs and loan terms from different lenders to find the best deal for you.
Sources: Consumer Financial Protection BureauSources
- Data Spotlight: The Impact of Changing Mortgage Interest Rates — Consumer Financial Protection Bureau
- Explore interest rates — Consumer Financial Protection Bureau
- Mortgage Key Terms — Consumer Financial Protection Bureau
- Understand the different kinds of loans available — Consumer Financial Protection Bureau