Mortgage Rates for January 2, 2025

At its Dec. 18 meeting, the Federal Reserve announced a quarter-point rate cut, marking the third consecutive cut. Despite a total reduction of 100 basis points since September, mortgage rates have climbed by 0.71 percentage points during the same period, according to Bankrate. Thirty-year mortgage rates generally follow the 10-year Treasury yield, fluctuating with economic trends and global influences. Recently, factors like inflation, the election, and international developments have played a significant role in driving rates. Melissa Cohn, regional vice president at William Raveis Mortgage, noted that the Fed’s move was anticipated and that it also reduced its rate-cut expectations for 2025.

All rate data is accurate as of January 2, 2025, at 7:30 a.m. ET.

Today’s 30-year mortgage interest rate

Today, the average 30-year fixed mortgage rate is 6.99 percent, a decrease of 2 basis points from last week. The average rate was higher just a month ago, at 6.78 percent. At this rate, monthly payments total $664.63 per $100,000 borrowed in principal and interest.

Today’s 15-year mortgage interest rate

The latest average rate for a 15-year fixed mortgage is 6.29 percent. At this rate, monthly payments total $860 per $100,000 borrowed.

Consumers should shop around to get the best deal. Rates below national averages are available. FreeRateUpdate.com has verified fixed mortgage rates as low as 6.500 %, with a 6.587 % APR available today in our mortgage lender network.