Don’t expect lower rates after the Fed meeting
From Yahoo Finance: 2025-05-05 06:00:00
Mortgage rates have increased today, with the average 30-year fixed rate at 6.70%, 15-year fixed rate at 6.95%, and 5/1 ARM rate at 6.88%. The Federal Reserve is expected to keep rates steady this week, with a 97% chance of no cuts. Home loan rates are unlikely to drop soon.
Current mortgage rates are: 30-year fixed at 6.70%, 20-year fixed at 6.28%, 15-year fixed at 5.95%, and 5/1 ARM at 6.88%. Refinance rates are slightly higher, with the 30-year fixed at 6.75%. Remember, these are national averages.
The average 30-year mortgage rate is 6.70%, with a $300,000 mortgage at this rate costing about $1,936 per month. The average 15-year rate is 5.95%, with monthly payments around $2,523. Consider factors like interest rates and monthly payments when choosing a mortgage term.
Adjustable-rate mortgages offer lower initial rates but can increase over time. Rates may vary between lenders, so shop around for the best deals. To secure lower rates, consider increasing your down payment, improving your credit score, or paying down debt before applying for a mortgage.
Consider buying discount points or doing an interest rate buydown to lower your mortgage rate. Calculate whether the savings over time justify the upfront costs. National average mortgage rates are 6.70% for 30-year fixed, 5.95% for 15-year fixed, and 6.88% for 5/1 ARM loans.