Mortgage interest rates are the same today as they were yesterday, as all signs point to the Federal Open Market Committee (FOMC) holding the federal funds rate steady next week.
The average interest rate on a 30-year, fixed-rate mortgage is unchanged at 6.46% APR, according to rates provided to NerdWallet by Zillow. This is 12 basis points higher than a week ago. (See our chart below for more specifics.) A basis point is one one-hundredth of a percentage point.
With attacks across the Middle East escalating this week, we don’t seem to be moving any closer to an end to the war in Iran. It’s hard to imagine mortgage rates falling significantly any time soon, as the war has consistently fueled inflation and pushed rates up.
Average mortgage rates, last 30 days
🤓 From the Nerds: Kate on Rates
📈 What influences mortgage rates?
Mortgage rates are constantly changing, since a major part of how rates are set depends on reactions to new inflation reports, job numbers, Fed meetings, global news … you name it. For example, even tiny changes in the bond market can shift mortgage pricing.
The Bureau of Labor Statistics released the latest Consumer Price Index (CPI) yesterday. While the 0.5% monthly increase in inflation was in line with expectations, this pushed the annual inflation rate to 4.2% — its highest level in three years. Inflation has been above the Federal Reserve’s 2% target for more than five years, and the Iran war has exacerbated the problem.
“When the FOMC meets next week, these inflation numbers will be top of mind,” says Elizabeth Renter, NerdWallet senior economist.
“Under new Fed Chair Warsh, the Committee will be sussing out whether what we’re seeing in the data represents something that will work itself out in time or whether it risks being persistent. Paired with the labor market data from last week, we know a rate cut is all but off the table.”
That labor market data showed that the U.S. job market is currently doing pretty well. Since we’re in a situation where inflation’s running hot and the job market’s relatively secure, anyone who had Fed rate cuts on their 2026 bingo card can probably put down their dauber.
Supporting a faltering labor market is the Federal Reserve’s key rationale for cutting rates; lowering interest rates increases spending, which can boost business but also spur inflation. Raising the federal funds rate — which is the key short-term interest rate the central bankers set — is the Fed’s main tool for slowing inflation.
Even though the Fed doesn’t set mortgage rates, its decisions have a major influence on rates’ direction. Mortgage lenders often start pricing in expected cuts or hikes from the Federal Reserve well ahead of the actual announcements. Though the central bankers are unlikely to make changes at their meeting later this month, if it begins to look like the Fed is likely to raise, that will probably increase upward pressure on mortgage rates.
Refinancing might make sense if today’s rates are at least 0.5 to 0.75 of a percentage point lower than your current rate (and if you plan to stay in your home long enough to break even on closing costs).
With rates where they are right now, you may want to start considering a refi if your current rate is around 6.96% or higher.
Also consider your goals: Are you trying to lower your monthly payment, shorten your loan term or turn home equity into cash? For example, you might be more comfortable with paying a higher rate for a cash-out refinance than you would for a rate-and-term refinance, so long as the overall costs are lower than if you kept your original mortgage and added a HELOC or home equity loan.
If you’re looking for a lower rate, use NerdWallet’s refinance calculator to estimate savings and understand how long it would take to break even on the costs of refinancing.
🏡 Should I start shopping for a home?
There is no universal “right” time to start shopping — what matters is whether you can comfortably afford a mortgage now at today’s rates.
If the answer is yes, don’t get too hung up on whether you could be missing out on lower rates later; you can refinance down the road. Focus on getting preapproved, comparing lender offers, and understanding what monthly payment works for your budget.
NerdWallet’s affordability calculator can help you estimate your potential monthly payment. If a new home isn’t in the cards right now, there are still things you can do to strengthen your buyer profile. Take this time to pay down existing debts and build your down payment savings. Not only will this free up more cash flow for a future mortgage payment, it can also get you a better interest rate when you’re ready to buy.
If you already have a quote you’re happy with, you should consider locking your mortgage rate, especially if your lender offers a float-down option. A float-down lets you take advantage of a better rate if the market drops during your lock period.
Rate locks protect you from increases while your loan is processed, and with the market forever bouncing around, that peace of mind can be worth it.
🤓 Nerdy Reminder: Rates can change daily, and even hourly. If you’re happy with the deal you have, it’s okay to commit.
🧐 Why is the rate I saw online different from the quote I got?
The rate you see advertised is a sample rate — usually for a borrower with perfect credit, making a big down payment, and paying for mortgage points. That won’t match every buyer’s circumstances.
In addition to market factors outside of your control, your customized quote depends on your:
Even two people with similar credit scores might get different rates, depending on their overall financial profiles.
👀 If I apply now, can I get the rate I saw today?
Maybe — but even personalized rate quotes can change until you lock. That’s because lenders adjust pricing multiple times a day in response to market changes.
Add as a preferred source on Google
About the author
Taylor Getler is a home and mortgages writer for NerdWallet. Her work has been featured in outlets such as MarketWatch, Yahoo Finance, MSN and Nasdaq. Taylor is enthusiastic about financial literacy and helping consumers make smart, informed choices with their money.
