May 15, 2025

Mortgage Rates

Mortgage Rates Inch Down, Buyers Still on Hold

During the week of April 3, the 30-year fixed-rate mortgage decreased by 1 basis point to 6.64% compared to the week of March 27. Since January 16, rates have been trending downward, with a total decline of 40 basis points. The four-week average now stands at 6.65%.

Although there has been a 24-basis point drop compared to the same week last year, it has not been enough to motivate buyers. Potential buyers are still waiting for rates to reach more reasonable levels. Last week’s significant tariff rate increases have not yet affected mortgage rates. The Fed’s interest rate cut program will be one of the most important variables to watch.

Potential buyers continue to wait for mortgage rates to fall. The imbalance between low demand and even lower supply is pushing property prices upward.

Description: 30- and 15-Year Fixed-Rate Mortgages: The 30-year fixed-rate mortgage offers long-term stability with lower monthly payments but higher total interest costs, while the 15-year fixed-rate mortgage features higher monthly payments but lower overall interest costs and faster equity building. Both provide fixed rates for predictable payments throughout the loan term.