30-year fixed mortgage rates

The current average 30-year fixed mortgage rate is 6.49%, according to Freddie Mac. This is a nearly 10 point decrease from the previous week.

The 30-year fixed-rate mortgage is the most common type of home loan. With this type of mortgage, you'll pay back what you borrowed over 30 years, and your interest rate won't change for the life of the loan.

The lengthy 30-year term allows you to spread out your payments over a long period of time, meaning you can keep your monthly payments lower and more manageable. The trade-off is that you'll have a higher rate than you would with shorter terms or adjustable rates.

15-year fixed mortgage rates

The average 15-year fixed mortgage rate is 5.76%, a decrease from the prior week, according to Freddie Mac data.

If you want the predictability that comes with a fixed rate but are looking to spend less on interest over the life of your loan, a 15-year fixed-rate mortgage might be a good fit for you. Because these terms are shorter and have lower rates than 30-year fixed-rate mortgages, you could potentially save tens of thousands of dollars in interest. However, you'll have a higher monthly payment than you would with a longer term.

Are mortgage rates going up?

Mortgage rates started ticking up from historic lows in the second half of 2021 and have increased significantly so far in 2022. But mortgage rates dropped recently, and they may not trend back up again this year.

In the last 12 months, the Consumer Price Index rose by 7.7%. The Federal Reserve has been working to get inflation under control, and is expected to increase the federal funds rate once more this year, following increases at its previous six meetings.

Inflation remains elevated, but has started to slow, which is a good sign for mortgage rates and the broader economy.

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