The national average 30-year fixed mortgage rate edged up to 6.94% on Friday, June 6, 2025, according to Zillow. This marks a 1 basis point increase from the previous day, though rates have eased slightly over the past week.
Homebuyers and refinancers alike continue to monitor shifting mortgage rates, which remain elevated amid persistent inflation and Federal Reserve uncertainty.
Current average mortgage rates
As of June 6, here’s how average mortgage rates stack up across major loan types:
Conforming Loans
| Loan Type | Rate | APR | Weekly Change |
|---|---|---|---|
| 30-Year Fixed | 6.94% | 7.32% | -0.07% |
| 20-Year Fixed | 6.83% | 7.35% | -0.14% |
| 15-Year Fixed | 6.00% | 6.25% | -0.06% |
| 10-Year Fixed | 5.89% | 6.28% | -0.18% |
| 5-Year ARM | 7.46% | 7.89% | -0.08% |
Government-Backed Loans
- FHA 30-Year Fixed: 7.16% (APR: 8.19%)
- VA 30-Year Fixed: 6.55% (APR: 6.77%)
Jumbo Loans
- 30-Year Fixed Jumbo: 7.10% (APR: 7.47%)
- 5-Year ARM Jumbo: 7.59% (APR: 8.00%)
Weekly rate trend: Slight drop overall
Compared to last week, average mortgage rates are trending slightly downward:
- The 30-year fixed dropped from 7.01% to 6.94%
- The 15-year fixed declined from 6.06% to 6.00%
- The 5-year ARM fell from 7.53% to 7.46%
These changes reflect small but meaningful shifts for buyers and refinancers, with rate volatility expected to continue in the near term.
What’s influencing mortgage rates?
Several macroeconomic and policy factors are shaping current rate trends:
- Federal Reserve Policy: While the Fed hasn’t signaled immediate rate cuts, inflation data and employment reports remain key drivers.
- Investor Sentiment: Market uncertainty is keeping mortgage rates fluctuating week to week.
- Housing Demand: Despite high borrowing costs, limited inventory is keeping pressure on home prices.
Tips to get the best mortgage rate
Borrowers can improve their odds of securing a lower mortgage rate by:
- Shopping around: Compare quotes from multiple lenders.
- Improving credit: Higher credit scores often unlock better rates.
- Making a larger down payment: 20% or more may qualify you for lower interest.
- Exploring different loan types: Consider ARMs or shorter-term fixed loans if they better fit your financial plans.
Should you buy or refinance now?
With rates showing slight declines but still hovering near 7%, now may be a window of opportunity—especially for borrowers who can lock in a favorable rate and plan to stay in their home long-term.
Refinancers should weigh closing costs against potential interest savings, especially if their current mortgage rate is above today’s averages.
What happens next?
Markets will continue watching Federal Reserve announcements, inflation reports, and economic indicators that could sway rates. If inflation cools faster than expected, a broader rate drop may follow later in 2025.
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