Mortgage rates have moved lower in the days since President Trump announced plans to improve home affordability and reduce loan costs. Data from Zillow shows the average 30-year fixed rate is now 5.86%, a drop of 19 basis points since Friday. The 15-year average rate has also decreased to 5.28%. Zillow compiles these figures from its lender marketplace.
A weekly survey by Yahoo Finance of lenders with competitive rates found two top-five lenders offering loan rates close to or under 5.5%.
Current mortgage rates, based on the latest Zillow data, include a 30-year fixed at 5.86%, a 20-year fixed at 5.73%, and a 15-year fixed at 5.28%. Adjustable-rate mortgages such as the 5/1 ARM stand at 6.15% and the 7/1 ARM at 6.12. VA loan rates are 5.52% for 30-year terms and 5.01% for 15-year terms. These numbers represent national averages rounded to the nearest hundredth.
Refinance rates are typically higher than purchase rates. Zillow data lists a 30-year fixed refinance rate at 5.99%, a 20-year fixed at 5.76%, and a 15-year fixed at 5.43%. Adjustable refinance rates include 6.40% for 5/1 ARMs and 6.64% for 7/1 ARMs. VA refinance rates are 5.46% for 30-year and 5.11% for 15-year terms. Again, these are national averages.
For a $400,000 mortgage, a 30-year loan at 5.86% results in a monthly payment of about $2,391 toward principal and interest, with total interest reaching $361,481. A 15-year mortgage at 5.28% leads to a monthly payment of approximately $3,551 and total interest of $179,928. Borrowers can make extra payments on a 30-year loan to reduce interest costs.
Fixed-rate mortgages lock in the rate from the start, while adjustable-rate mortgages maintain a set rate for an initial period before adjusting annually. ARMs may start lower but can increase after the lock period ends.
According to Zillow, today's 30-year fixed rate is 5.86% for purchases and 5.99% for refinances, with variations possible by location and individual finances. Forecasts from the MBA and Fannie Mae suggest rates may remain around 6% through 2026, with little change expected in 2027.