Mortgage Rates Have Decreased, Dropping to More Affordable Levels Following a 2025 High Point
Mortgage Rates Take a Breather After Wild Swings
In a rollercoaster ride, mortgage rates have survived the storm caused by President Trump's tariff policy. Despite an initial dip due to thestock market sell-off, the situation took a turn as 10-year Treasury yields soared, raising mortgage rates quickly. However, the good news is that rates have stabilized over the past week.
Let's dive into the specifics of 30-year fixed-rate loans, which have seen a welcome 19-point drop over three weeks, reaching an average of 6.95%. Meanwhile, 15-year rates have experienced an even more significant decrease, subtracting 34 basis points to average below 6% on Friday. Jumbo 30-year rates have followed suit, shedding 25 points to a Friday reading of 6.90%.
For a new $350,000 loan with a 30-year term, today's rates equate to a monthly payment of $2,317, representing a $45 savings compared to the mid-April peak. Be sure to check out our tables below for other loan types and amounts.
If you're wondering about refinancing options, we've got you covered. Alongside our updates on purchase loans, we publish national and state-specific refinance rate averages every business day. Already have a mortgage and looking for refi rates? Check us out!
Key Points to Remember:- Mortgage rates have stabilized after a turbulent period due to the tariff policy.- Rates on 30-year fixed-rate loans have dropped to an average of 6.95% after a three-week decline of 19 points.- 15-year rates have fallen by 34 basis points, averaging below 6% on Friday.- Jumbo 30-year rates have also seen a three-week drop, averaging 6.90%.- This week's rates represent a $45 saving for a new $350,000 loan with a 30-year term when compared to the mid-April peak.
Insight: The latest data (up to May 5, 2025) indicates that the 30-year fixed-refinance rate currently stands at 6.85%. Experts project that 30-year rates will remain between 6.5-7% through late 2025.
Make the most out of these rates with our customized advice tailored to your financial goals.
Sources & Footnotes:
[1] What is a Jumbo Mortgage?).[2] Current Mortgage & Refinance Rates[3] Bankrate Mortgage and Refinance Rates for May 1[4] 65% of Economists Say the 30-Year Mortgage Rate Will Remain Between 6.5% and 7% Through Late 2025
- With the stabilization of mortgage rates, some might now consider investing in Decentralized Finance (Defi), as the reduced cost could make it more feasible.
- The decreased mortgage rates may stimulate personal-finance improvement, as individuals can employ strategies like loan refinancing, potentially lowering their liabilities, such as ico-issued tokens, which have seen volatile performance in recent years.
- As mortgage rates continue to remain low, many businesses might be inclined to take advantage of the opportunity for economical loans, which could lead to increased growth and development.
- By 2025, the turbulence within finance and investing might still persist, but the current mortgages and refinance rates offer some respite amid the chaos, providing a sense of security for many individuals managing their personal-finance.
- Given the defi sector's reliance on lending and borrowing, the lower mortgage rates could have indirect effects. For instance, with reduced cost of personal loans, investors might be more willing to allocate resources to defi protocols, impacting the overall token rates within the ecosystem.
- As the volatile tariff policy and stock market fluctuations continue to influence mortgage rates, it's essential for investors to remain vigilant about their personal-finance, businesses, and investment portfolios, employing strategies that adapt to the ever-changing finance landscape.
