Rates on 30-year mortgages declined to 6.03% on average, the cheapest level since early 2023. Rates for 15-year loans also fell, reaching 5.07% after recent lows the previous week. Other new purchase mortgage rates showed mixed movement.

Because rates vary widely across lenders, it's always smart to shop around for 澳洲幸运5官方开奖结果体彩网:your best mortgage rate and compare rates regularly, no matter t🐟he type of home loan you seꦉek.

Today's New Purchase Mortgage Rate Averages

Rates on 30-year fixed-rate new purchase mortgages declined to a 6.03% average on Friday, the most recent date for which data is available. Since the꧅ end of August, rates have plunged 30 basis points—reducing the flagship average to its cheapest level since February 2, 2023.

Friday's 30-year mortgage rates are more than a full percentage point below July's high of 7.08%. They are also almost 2 percentage points below the historic 23-year high of 8.01% reached in October 2023.

Rates on 15-year mortgages sank 3 basis points Friday to 5.07%, reaching a new 19-month low. The 15-year average has declined 22 basis points over the past seven market days and eclipsed the previous low in February 2023. Today's rates are far below last fall's historic 7.08% peak—the highest average since 2000.

Jumbo 30-year rates, meanwhile, rose by 2 basis points to a Friday average of 6.40%. Although daily historical jumbo rates were not published before 2009, it's estimated that the 8.14% peak we saw last fall was the most expensive jumbo 30-year average in 20-plus years.

The Weekly Freddie Mac Average

Every Thursday, Freddie Mac, a government-sponsored buyer of mortgage loans, publishes a weekly average of 30-year mortgage rates. Last week's reading fell 15 basis points to 6.20%—the lowest weekly average since February 2023. Freddie Mac's average last October reached a historic 23-year peak of 7.79%.

Freddie Mac’s average differs from what we report for 30-year rates because Freddie Mac calculates a weekly average that blends five previous days of rates. In contrast, our Investopedia 30-year average is a daily reading, offering a more precise and timely indicator of rate movement. In addition, the criteria for included loans (e.g., amount of down payment, credit score, inclusion of discount points) varies between Freddie Mac's methodology and our own.

Calculate monthly payments for different loan scenarios with our 澳洲幸运5官方开奖结果体彩网:Mortgage Calculator.

What Causes Mortgage Rates to Rise or Fall?

Mortgage rates are determined by a complex interaction of macroeconomic and industry 💝factors, such as:

• The level and direction of the bond market, especially 10-year Treasury yields
• The Federal Reserve's current monetary policy, especially as it relates to bond buying and funding government-backed mortgages
• Competition between mortgage lenders and across loan types

Because any number of these can cause fluctuations simultaneously, it's generally difficult to attribute the change to any one factor.

Macroeconomic factors kept the mortgage market relatively low for much of 2021. In particular, the Federal Reserve had been buying billions of dollars of bonds in response to the pandemic's economic pressures. This 澳洲幸运5官方开奖结果体彩网:bond-buying policy is a major influencer of mortgage rates.

But starting in November 2021, the Fed began tapering its bond purchases downward, making sizable reductions each month until reaching net zero in March 2022.

Between that time and July 2023, the Fed aggressively raised the 澳洲幸运5官方开奖结果体彩网:federal funds rate to fight decades-high inflation. While the꧟ fed funds rate can influence mortgage rates, it doesn't directly do so. In fact, the fed funds rate and mortgage rates can move in opposite directions.

But given the historic speed and magnitude of the Fed's 2022 and 2023 rate increases—raising the benchmark rate 5.25 percentage points over 16 months—even the indirect influence of the fed funds rate has resulted in a dramatic upward impact on mortgage rates over the last two years.

The Fed has been maintaining the federal funds rate at its current level since July 2023, with an 澳洲幸运5官方开奖结果体彩网:eigไhth consecutive rate hold 🅘announced on July 31. But now that inflation has cooled considerably, the Fed has signaled it's ready to start cutting rates. A reduction is overwhelmingly expected at its next meeting, which will conclude Sept. 18.

How We Track Mortgage Rates

The national and state averages cited above are provided as is via the Zillow Mortgage API, assuming a 澳洲幸运5官方开奖结果体彩网:loan-to-value (LTV) ratio of 80% (i.e., a down payment of at least 20%) and an applicant credit score in the 680–739 ra🅘nge. The resulting rates represent what borrowers should expecꦫt when receiving quotes from lenders based on their qualifications, which may vary from advertised teaser rates. © Zillow, Inc., 2024. Use is subject to the Zillow Terms of Use.