Average mortgage rates moved higher for all loan terms compared to a week ago, according to Bankrate data. Rates for 30-year fixed, 15-year fixed, 5/1 ARMs and jumbo loans increased.
| Mortgage type | Today’s rate | Last week’s rate | Change |
|---|---|---|---|
| 30-year fixed | 6.66% | 6.55% | +0.11 |
| 15-year fixed | 5.99% | 5.89% | +0.10 |
| 5/1 ARM | 6.16% | 6.04% | +0.12 |
| 30-year fixed jumbo | 6.71% | 6.63% | +0.08 |
Rates as of October 23, 2024.
These rates are Bankrate’s overnight average rates and are based on the assumptions shown here. Actual rates available within the site may vary. This story has been reviewed by Suzanne De Vita. All rate data accurate as of Wednesday, October 23rd, 2024 at 7:30 a.m. ET.
Market mortgage rates constantly change as the economy ebbs and flows, policymakers and investors digest new data and lenders decide how much risk they’re willing to tolerate on a given day.
That includes Federal Reserve decisions. In mid-September, the central bank cut interest rates by a half-point, the first such move since the pandemic. The consensus for now is that the Fed could cut rates one or two more times before the end of the year.
Historical mortgage rates: How do today’s rates compare to years past?
The Fed doesn’t outright determine fixed mortgage rates, but its decisions matter. Mortgages tend to increase or decrease with the 10-year Treasury yield, the effective yield rate on 10-year Treasury notes. The 10-year yield rises when there’s less demand for notes — and this tends to happen when investors feel confident in the economy, including monetary policy.
Still, real life doesn’t necessarily consider the Fed, inflation and yields. If you’re in a position to buy or sell a home now, it might be better to make a move than try to wait out the market. Wherever prevailing rates are, shop lenders to help uncover the best deal.
30-year mortgage moves higher, +0.11%
Today’s average rate for the benchmark 30-year fixed mortgage is 6.66 percent, an increase of 11 basis points since the same time last week. This time a month ago, the average rate on a 30-year fixed mortgage was lower, at 6.20 percent.
At the current average rate, you’ll pay $642.63 per month in principal and interest for every $100,000 you borrow. That’s $7.27 higher compared with last week.
Traditional lending practices defer to the 30-year, fixed-rate mortgage as the go-to for most borrowers as it allows the borrower to spread mortgage payments out over 30 years, keeping their monthly payment lower.
15-year mortgage rate moves upward, +0.10%
The average rate for a 15-year fixed mortgage is 5.99 percent, up 10 basis points over the last week.
Monthly payments on a 15-year fixed mortgage at that rate will cost $843 per $100,000 borrowed.
5/1 ARM rate moves up, +0.12%
The average rate on a 5/1 adjustable rate mortgage is 6.16 percent, rising 12 basis points from a week ago.
Monthly payments on a 5/1 ARM at 6.16 percent would cost about $610 for each $100,000 borrowed over the initial five years.
Jumbo mortgage rate moves higher, +0.08%
The average jumbo mortgage rate is 6.71 percent, up 8 basis points since the same time last week. This time a month ago, the average rate on a jumbo mortgage was lower at 6.33 percent.
At today’s average rate, you’ll pay $645.94 per month in principal and interest for every $100,000 you borrow. That’s an additional $5.30 per $100,000 compared to last week.
30-year mortgage refinance moves higher, +0.12%
The average 30-year fixed-refinance rate is 6.67 percent, up 12 basis points from a week ago. A month ago, the average rate on a 30-year fixed refinance was lower at 6.18 percent.
At the current average rate, you’ll pay $643.29 per month in principal and interest for every $100,000 you borrow. Compared with last week, that’s $7.93 higher.
When will mortgage rates go down?
With the Fed now making cuts, mortgage rates could continue to fall through the end of 2024 and into 2025. There might be some bouncing around, however. In October, rates ticked up slightly.
“In the words of Jerome Powell, the Fed is ‘recalibrating’ interest rates. Markets are recalibrating too, to reflect the fact that interest rates won’t come down as quickly as had been previously expected.” says Greg McBride, CFA, chief financial analyst for Bankrate.
Still, housing sentiment is on the rise. In September, Fannie Mae’s Home Purchase Sentiment Index rose to its highest level in over two years. A full 65 percent of respondents to Fannie’s survey said now is a good time to sell a home, and a record 42 percent said they expect mortgage rates to decline over the next 12 months.
Lower rates have also caused some homeowners to refinance, with more potentially to follow. Nearly 3 million outstanding mortgages have a rate at or above 6.75 percent, according to CoreLogic. As rates decline, refinancing could become an option for more borrowers.
“The time to start thinking about it is when you can shave one-half to three-quarters of a percentage point off your rate,” McBride says.
For purchase loans, many are still holding out for lower rates, according to Bankrate’s Mortgage Rates Survey, which found that 47 percent of homeowners would need rates under 5 percent to feel comfortable buying a home in 2024.
More on current mortgage rates
- Mortgage rate trend predictions for this week
- Latest mortgage news for this week
- Compare today’s mortgage rates
Methodology
Bankrate displays two sets of rate averages that are produced from two surveys we conduct: one daily (“overnight averages”) and the other weekly (“Bankrate Monitor averages”).
The rates on this page represent our overnight averages. For these averages, APRs and rates are based on no existing relationship or automatic payments.
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