Mortgage rates hit a fresh low in 2025, with the average 30-year rate at 6.5% and the 15-year rate at 5.6%. Despite lower rates, homebuying remains slow. Purchase applications dropped 3%, but refinancing applications rose 1%. Weak jobs report could lead to more rate movement next week, as signs of labor market weakness continue.

Two recent reports indicate labor market weakness, with job openings at a 10-month low and private sector job growth lower than expected. Continued signs of weakness could reinforce the downward trend in rates, while strong employment figures could reverse recent gains. Last month’s jobs report pushed mortgage rates to recent lows.

Senior Reporter Claire Boston covers housing, mortgages, and home insurance for Yahoo Finance. Stay updated with personal finance news by signing up for the Mind Your Money newsletter. For more financial and business news, visit Yahoo Finance.

Read more at Yahoo Finance: Mortgage rates hit 6.5%, the lowest level since October 2024