Mortgage and Refinance Interest Rates Today, December 16, 2025: Little Movement Since Mid-October

Mortgage rates are hovering near where they have been since mid-October. According to Zillow, the average is a 30-year rate 6.08%. The average rate is 15 years 5.58%. The calm rate environment allows for easy rate shopping among the best mortgage lenders.

Here are the current mortgage rates, according to our latest Zillow data:

• 30-year fixed: 6.08%

• 20-year fixed: 5.98%

• 15 years fixed: 5.58%

• 5/1 ARM: 6.28%

• 7/1 ARM: 6.22%

• 30-year VA: 5.63%

• 15-year VA: 5.16%

• 5/1 VA: 5.45%

Note that these are national averages and are rounded to the nearest hundred.

These are the current mortgage refinance rates, according to the latest Zillow data:

• 30-year fixed: 6.12%

• 20-year fixed: 6.05%

• 15 years fixed: 5.57%

• 5/1 ARM: 6.26%

• 7/1 ARM: 6.41%

• 30-year VA: 5.74%

• 15-year VA: 5.39%

• 5/1 VA: 5.44%

Again, the numbers provided are national averages rounded to the nearest hundred. Refinance rates are usually higher than purchase rates.

A mortgage calculator can help you see how different mortgage term lengths and interest rates affect your monthly payments. Use this mortgage calculator to play around with different results.

You can bookmark the Yahoo Finance mortgage payment calculator and use it for future reference as you shop for homes and lenders. It also considers factors such as property taxes and homeowner’s insurance when calculating your estimated monthly mortgage payment. This gives you a better idea of ​​your total monthly payment than if you just looked at the mortgage principal and interest.

As a general rule, 15-year mortgage rates are lower than 30-year mortgage rates. When comparing 15- vs. 30-year mortgage rates, know that a shorter term will save you money in interest over the long term. However, your monthly payments will be higher because you are paying the same loan amount in half the time.

For example, with a $400,000 mortgage with a 30-year term and a 6.08% rate, you’ll pay roughly monthly. $2,419 towards your mortgage principal and interest. As interest accumulates over decades, you’ll end up paying $470,773 in interest.

If you get a $400,000 15-year mortgage with a 5.58% rate, you’ll pay approx. $3,285 monthly towards your principal and interest. However, you will only pay $191,361 Over the years interest.

If that 15-year mortgage monthly payment is too high, remember that you can make additional mortgage payments on your 30-year loan to pay off your mortgage faster and ultimately pay less interest.

With a fixed rate mortgage, your rate is locked in from day one. However, you will get a new rate if you refinance your mortgage.

An adjustable-rate mortgage keeps your rate the same for a certain period of time. The rate then goes up or down based on several factors, such as the economy and the maximum amount your rate can change according to your contract. For example, with a 7/1 ARM, your rate will be locked for the first seven years, then change every year for the remainder of your term.

Adjustable rates sometimes start out lower than fixed rates, but once the initial rate-lock period ends, you risk your interest rate going up. ARM rates have also recently started higher than fixed rates, so sometimes you don’t get a rate break.

Economists do not expect a drastic rate cut before the end of 2026.

Even with the most recent cut in the federal funds rate, mortgage rates have continued to remain in a range — barely moving since mid-October.

The Fed is currently hinting at a single rate cut for 2026, perhaps with one more in 2027.

According to Zillow data, today’s 30-year fixed rate is 6.08% for home purchases and 6.12% for refinances. These are national averages, so keep in mind that averages for your state or city may differ. Your rate will vary based on your personal finances.

According to its November forecast, the MBA expects 30-year mortgage rates to hover near 6.4% through 2026. Fannie Mae predicts the 30-year rate will remain above 6% until next year, but will drop to 5.9% in Q4 2026.

Mortgage rates are likely to change little in 2027. MBA forecasts 30-year fixed rates at 6.3% for most of 2027, before stepping up to an average of 6.4% in Q4 ’27. Fannie Mae predicts average rates near 5.9% for the full year of 2027.