Key Takeaways
- Mortgage rates dropped mid-week to their lowest level since April, then inched back up to finish the week where they began.
- Monthly payments are now lower than they were during the spring peak.
- At the current 30-year fixed rate average of 6.78%, a $350,000 loan costs about $1,020 less per year than it would have at the spring peak of 7.14% in mid-April.
- There’s no guarantee that rates will fall further, so if you find the right home, it could make sense to buy now—especially since you can refinance later if rates drop.
- See our tables below for rate and payment comparisons by loan type.
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A Mid-Week Drop Pushed Mortgage Rates to Their Cheapest Level Since Spring
In mid-April, mortgage rates surged after the bond market reacted to President Trump’s sweeping tariff proposals, which pushed 10-year Treasury yields sharply higher.
Since early June, however, homebuyers have gotten some relief, with the flagship mortgage rate average moving further and further below the 7% mark, and Thursday dropping to 6.72%—its cheapest level since April 4. Rates for other loan types dropped similarly, or even to March levels.
Below, we break down how rates have changed for each new purchase loan average, followed by a closer look at 30-year, 15-year, and jumbo 30-year fixed-rate loans.
New Purchase Mortgage Rate Changes Since the April Surge
| Mortgage Type | Spring peak on Apr 11 | Aug 8 | Change |
|---|---|---|---|
| 30-Year Fixed | 7.14% | 6.78% | – 0.36 |
| FHA 30-Year Fixed | 7.04% | 6.85% | – 0.19 |
| VA 30-Year Fixed | 6.81% | 6.35% | – 0.46 |
| 20-Year Fixed | 7.09% | 6.47% | – 0.62 |
| 15-Year Fixed | 6.31% | 5.73% | – 0.58 |
| FHA 15-Year Fixed | 6.32% | 6.49% | + 0.17 |
| 10-Year Fixed | 6.69% | 5.74% | – 0.95 |
| 7/6 ARM | 7.34% | 7.33% | – 0.01 |
| 5/6 ARM | 7.22% | 7.30% | + 0.08 |
| Jumbo 30-Year Fixed | 7.15% | 6.82% | – 0.33 |
| Jumbo 15-Year Fixed | 7.07% | 6.42% | – 0.65 |
| Jumbo 7/6 ARM | 7.59% | 7.00% | – 0.59 |
| Jumbo 5/6 ARM | 7.77% | 7.21% | – 0.56 |
Dip in 30-Year Mortgage Rates Ends With Modest Rebound
After peaking at a weekly average of 7.14% on April 11, rates on new 30-year purchase loans have settled into a significantly lower range. The flagship average now stands at 6.78%—more than a third of a percentage point below the spring high.
Friday’s reading matched the previous week’s 6.78% average, though rates briefly dipped to a lower 6.72% on Thursday.
15-Year Rates Drop Sharply in 2-Week Decline
Rates on 15-year new purchase loans declined another 2 basis points last week, building on a dramatic 15-point drop the week before. The new weekly average of 5.73% is now more than half a percentage point below the April peak of 6.31%.
Before inching up slightly on Friday, 15-year rates touched their lowest level since early March—hitting 5.68% on Thursday.
Jumbo Mortgage Rates Inch Up From 4-Month Low
Jumbo 30-year loan rates reversed course last week, rising 9 basis points to an average of 6.82%. That gain erased the previous week’s decline, which had brought rates to their lowest level since early April. Even so, the current average remains 33 basis points below the April peak of 7.15%.
What’s a Jumbo Loan?
A jumbo mortgage exceeds the loan limits set for conforming loans by Fannie Mae and Freddie Mac—$806,500 for most U.S. single-family homes in 2025 and up to $1,209,750 in high-cost areas.
Why Buying When You’re Ready Beats Waiting on Rates
Though today’s mortgage rates are higher than they were last fall and winter, 30-year averages in the 6% range still represent an improvement over much of 2025—including the year-to-date peak of 7.14% in mid-April. And with many experts expecting rates to stay in the mid-6% range for the foreseeable future, even waiting until next year may not lead to meaningful savings.
Counting on a Fed rate cut to bring relief is also unreliable. There’s no guarantee the Fed will lower rates in 2025. Even if it does, mortgage rates may not follow. In fact, after three Fed cuts totaling a full percentage point in late 2024, mortgage rates didn’t fall—they surged.
That’s why it’s often smarter to base your buying decision on your financial readiness and whether you’ve found the right home—not on trying to time the mortgage market, which is nearly impossible and may not pay off. And if rates drop later, you can always refinance into a more affordable loan.
To show how recent rate changes affect monthly payments, the tables below break down principal-and-interest costs for various loan amounts using 30-year, 15-year, and jumbo 30-year fixed-rate new purchase mortgages.
Here’s What You’d Pay Monthly at Today’s Rates
Monthly Mortgage Payments for 30-Year Loans
| National average rate | $250,000 | $350,000 | $450,000 | $550,000 | $650,000 | |
|---|---|---|---|---|---|---|
| Fri, Apr 11 | 7.14% | $1,687 | $2,362 | $3,036 | $3,711 | $4,386 |
| Fri, Aug 8 | 6.78% | $1,626 | $2,277 | $2,928 | $3,578 | $4,229 |
| Change vs. spring peak | – 0.36 | – $61 | – $85 | – $108 | – $133 | – $157 |
| Annual savings | $732 | $1,020 | $1,296 | $1,596 | $1,884 |
Monthly Mortgage Payments for 15-Year Loans
| National average rate | $250,000 | $350,000 | $450,000 | $550,000 | $650,000 | |
|---|---|---|---|---|---|---|
| Fri, Apr 11 | 6.31% | $2,152 | $3,012 | $3,873 | $4,734 | $5,595 |
| Fri, Aug 8 | 5.73% | $2,073 | $2,903 | $3,732 | $4,561 | $5,391 |
| Change vs. spring peak | – 0.58 | – $79 | – $109 | – $141 | – $173 | – $204 |
| Annual savings | $948 | $1,308 | $1,692 | $2,076 | $2,448 |
Monthly Mortgage Payments for Jumbo 30-Year Loans
By definition, jumbo 30-year mortgages are larger loans. So below we’ve run our calculations on loan amounts of $800,000 to $1.2 million.
| National average rate | $800,000 | $900,000 | $1,000,000 | $1,100,000 | $1,200,000 | |
|---|---|---|---|---|---|---|
| Fri, Apr 11 | 7.15% | $5,403 | $6,079 | $6,754 | $7,429 | $8,105 |
| Fri, Aug 8 | 6.82% | $5,226 | $5,879 | $6,533 | $7,186 | $7,839 |
| Change vs. spring peak | – 0.33 | – $177 | – $200 | – $221 | – $243 | – $266 |
| Annual savings | $2,124 | $2,400 | $2,652 | $2,916 | $3,192 |
How We Calculate and Report Mortgage Rates
The national and state averages cited above are provided as is via the Zillow Mortgage API, assuming a 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 range. The resulting rates represent what borrowers should expect when receiving quotes from lenders based on their qualifications, which may vary from advertised teaser rates. © Zillow, Inc., 2025. Use is subject to the Zillow Terms of Use.
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