Mortgage Rates Today, Dec 5: 30-Year Fixed Refinance Rate Remains Stable

If you've been eyeing a refinance to potentially lower your monthly payments, you'll be interested to know that mortgage rates today are showing signs of holding steady. Specifically, the national average for a 30-year fixed refinance rate remains stable at 6.70%, according to the latest data from Zillow. This stability, while seemingly small, is a crucial point for homeowners looking to make a move before rates potentially shift again.

Mortgage Rates Today, Dec 5: 30-Year Fixed Refinance Rate Remains Stable

For us homeowners, this stability means there's a bit of breathing room. It's not a huge jump or a dramatic fall, but the fact that it's holding at that 6.70% mark is something to pay attention to. It's up just a tiny bit, a mere 1 basis point, from the previous week's average of 6.69%. While that might sound like nothing, understanding what a “basis point” means is key here. A basis point is one-hundredth of a percent, so 1 basis point is 0.01%. This small increase tells me that the market isn't making any sudden, drastic moves right now.

Beyond the 30-year fixed, other loan types are also showing similar stability. The 15-year fixed refinance rate is holding at 5.66%, and the 5-year adjustable-rate mortgage (ARM) refinance rate is at 7.39%. For many, the 30-year fixed is the go-to option because it offers predictable monthly payments over a long period, making it a popular choice for those looking to refinance.

What Does a 1 Basis Point Change Really Mean?

So, what's the big deal about a 1 basis point increase? Let's break it down. A 0.01% difference might not sound like much, but when you're talking about a loan as large as a mortgage, it can add up over time. For a $300,000 loan, a 0.01% increase in interest rate would translate to roughly an extra $3 a month. While this is a small amount on a monthly basis, over the life of a 30-year loan, it can become more noticeable.

This is why when I analyze numbers like these, I always think about the timing. Refinancing is like catching a wave. You want to catch it at the right moment. If you're thinking about refinancing your mortgage, seeing the rate hold steady gives you a window to act before any potential upward movement. It’s those small shifts that can make a difference in your overall savings.

Why Are Rates Staying Stable Now?

Several factors are at play in keeping these mortgage rates where they are. One of the biggest influences, I believe, is the Federal Reserve. The Fed has been actively cutting its key interest rate throughout 2025, and there’s a strong expectation of another cut happening in mid-December. However, it's important to remember that mortgage rates don't always instantly mirror the Fed's actions. Freddie Mac has noted this lag, and it’s something I always consider when looking at forecasts. The market often takes time to digest these changes.

Economic indicators are also playing a significant role. We're seeing inflation slowly coming down, which is good news, but it's still a bit higher than the Fed's target of 2%. On the flip side, the labor market is showing signs of cooling down. When these two factors – inflation and employment – continue to ease, it often puts downward pressure on interest rates, including those for mortgages.

Another key element is the 10-year Treasury yield. Many people don't realize this, but mortgage rates are actually more closely linked to this yield than to the federal funds rate set by the Fed. When the 10-year Treasury yield goes down, it generally signals that mortgage rates might follow suit. Conversely, if it creeps up, we often see mortgage rates climb. This relationship is something I monitor closely because it's a strong predictor.

Finally, we have to consider the housing market itself. For 2026, experts are predicting an increase in housing inventory. More homes on the market, combined with potentially easing mortgage rates, could lead to a more balanced market for buyers. This means less competition and potentially more negotiation power for those looking to purchase or refinance.

Looking Ahead: What Do the Experts Predict for 2026?

While the current refinance rates are stable, it's natural to wonder what the future holds. The general consensus among many experts I follow is a continued downward trend for mortgage rates into 2026, though we're unlikely to see the super-low rates that were common in 2020 and 2021.

Here's a look at what some prominent sources are forecasting:

• Realtor.com: They are predicting that mortgage rates will average around 6.3% throughout 2026. This suggests a gradual decrease from current levels.
• Fannie Mae: Their crystal ball shows rates starting at 6.2% in the first quarter of 2026 and then dropping further to 5.9% by the end of that year. This is a more optimistic outlook for significant rate reduction.
• Mortgage Bankers Association (MBA): They anticipate rates to hover around 6.4% in the fourth quarter of 2025 and then remain fairly steady at the beginning of 2026. This suggests a more cautious approach to rate drops.

It's fascinating to see these different predictions. What this tells me is that while a downward trend is expected, there's still some variation in how much and how quickly rates might fall. This is why staying informed is so important.

Refinancing: Is Now the Right Time for You?

So, with these numbers and forecasts in mind, the big question remains: should you refinance your mortgage right now? My take on this is that it really depends on your personal financial situation and goals.

Here are some key questions I encourage people to ask themselves:

• What is your current interest rate? If your current rate is significantly higher than the average refinance rate today (6.70% for a 30-year fixed), then refinancing could potentially save you money.
• How long do you plan to stay in your home? Refinancing involves closing costs, similar to when you first took out your mortgage. You need to calculate how long it will take for your monthly savings to offset these costs. This is often called the “break-even point.” If you plan to move or sell before you reach that point, refinancing might not be financially advantageous.
• What are your long-term financial goals? Are you looking to free up cash flow for other investments or expenses? Refinancing to a lower monthly payment can certainly help with that. Alternatively, some people choose to refinance and keep their monthly payment the same but shorten their loan term, which saves them a substantial amount in interest over the life of the loan.
• What is your credit score? Lenders offer the best rates to borrowers with strong credit scores. If your credit has improved since you took out your current mortgage, you might qualify for a better rate.

Table: Potential Monthly Payment Savings

Let's imagine you have a $300,000 mortgage with a 30-year term.

Current Rate	Current Monthly P&I	New Rate (6.70%)	New Monthly P&I	Monthly Savings
7.50%	$2,097.61	6.70%	$1,945.68	$151.93
7.00%	$2,000.06	6.70%	$1,945.68	$54.38

Note: P&I stands for Principal and Interest. This table does not include taxes or insurance, which are often escrowed.

As you can see from the table, the difference in monthly payments can be quite significant, especially if your current rate is substantially higher.

Understanding the Refinance Process

If you decide that refinancing is the right move for you, be prepared for a process that's quite similar to when you first bought your home. You'll need to:

• Shop around: Get quotes from multiple lenders to compare rates, fees, and terms.
• Provide documentation: This typically includes proof of income, assets, debts, and your current mortgage statement.
• Undergo an appraisal: The lender will need to assess the current value of your home.
• Close on the loan: Once approved, you'll sign the final paperwork, and the new loan will replace your old one.

My personal experience tells me that being organized with your documents and understanding all the fees involved can make the process much smoother. Don't be afraid to ask questions!

In Conclusion:

The mortgage rates today, with the 30-year fixed refinance rate remaining stable at 6.70%, present a moment of consideration for homeowners. While the market isn't making huge waves, this predictability offers a solid opportunity to evaluate your refinancing options. With expert forecasts pointing towards a general decrease in rates throughout 2026, it's a good time to keep an eye on the market, understand your personal financial picture, and perhaps even lock in a rate that works for you. Whether it's to lower your monthly payments, tap into your home equity, or simply gain peace of mind with a more favorable rate, the current stability in refinance rates is a signal worth paying attention to.