Mortgage Rates Today June 29, 2025: Rates Dip Slightly But Remain Elevated

Are you curious about the prevailing mortgage rates today? As of June 29, 2025, the national average for a 30-year fixed mortgage is holding steady at 6.75%, according to Zillow. While there's a slight decrease in mortgage rates from last week, rates remain relatively high. Here's a breakdown of everything you need to know.

Mortgage Rates Today, June 29, 2025: Rates Dip Slightly But Remain Elevated

Key Takeaways:

• 30-Year Fixed Mortgage Rate: Averaging 6.75%, a decrease of 0.16 percentage points from last week.
• Refinance Rates: 30-Year Fixed Refinance Rates also dipped, going down to 6.99%.
• 15-Year Fixed Mortgage Rate: Holding at 5.75%.
• 5-Year ARM: Increased slightly to 7.58%.

It's important to keep a close eye on the current mortgage rates as you make your financial decisions, whether you're buying a home or refinancing.

Mortgage Rates on June 29, 2025: A Closer Look

As of today, June 29, 2025, mortgage rates show a slight downward trend compared to last week. The average 30-year fixed mortgage rate is 6.75%. This is a decrease of 16 basis points (0.16%) from the previous week's average of 6.91%.

The 15-year fixed mortgage rate remains steady at 5.75%. Meanwhile, the 5-year Adjustable-Rate Mortgage (ARM) saw a slight increase, going up 4 basis points to 7.58%. It will be interesting to see any mortgage rate predictions for the rest of the year. I think a lot of people are hoping for rates to go down.

Here's a summary of the current national average mortgage rates according to Zillow:

• 30-Year Fixed: 6.75%
• 15-Year Fixed: 5.75%
• 5-Year ARM: 7.58%

Current Mortgage Rates by Loan Type

To provide a more detailed picture, here's a table comparing current mortgage rates for various loan types. This data is updated daily, so you can stay informed about week-over-week changes.

Conforming Loans

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate	6.75%	down 0.17%	7.20%	down 0.17%
20-Year Fixed Rate	6.32%	down 0.26%	6.67%	down 0.29%
15-Year Fixed Rate	5.75%	down 0.22%	6.04%	down 0.22%
10-Year Fixed Rate	5.78%	down 0.15%	6.04%	down 0.03%
7-year ARM	7.29%	down 0.15%	7.80%	down 0.01%
5-year ARM	7.58%	up 0.38%	7.97%	up 0.18%
3-year ARM	–	0.00%	–	0.00%

Government Loans

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate FHA	6.96%	down 0.37%	7.99%	down 0.37%
30-Year Fixed Rate VA	6.23%	down 0.17%	6.45%	down 0.16%
15-Year Fixed Rate FHA	5.50%	down 0.09%	6.46%	down 0.10%
15-Year Fixed Rate VA	5.64%	down 0.28%	5.99%	down 0.25%

Understanding APR

You'll notice both mortgage rates and APR (Annual Percentage Rate) are listed. The APR is more than just the interest rate; it includes other costs like lender fees, points, and other charges. The APR gives you a better overall picture of the cost of the loan. I think paying close attention to that number is important!

Current Refinance Rates on June 29, 2025: Is Now a Good Time to Refinance?

If you're considering refinancing your home, it's crucial to stay informed about current refinance rates. As of June 29, 2025, the national average 30-year fixed refinance rate is 6.99%, a decrease of 6 basis points from 7.05% on Sunday.

The 30-year fixed refinance rate is down 17 basis points from the previous week's average of 7.16%. The 15-year fixed refinance rate decreased slightly, going from 5.84% to 5.83%. However, the 5-year ARM refinance rate increased by 8 basis points, from 7.74% to 7.82%.

Here's a table comparing refinance mortgage rates for different loan types, including week-over-week changes.

Conforming Loans

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate	6.75%	down 0.17%	7.20%	down 0.17%
20-Year Fixed Rate	6.32%	down 0.26%	6.67%	down 0.29%
15-Year Fixed Rate	5.75%	down 0.22%	6.04%	down 0.22%
10-Year Fixed Rate	5.78%	down 0.15%	6.04%	down 0.03%
7-year ARM	7.29%	down 0.15%	7.80%	down 0.01%
5-year ARM	7.58%	up 0.38%	7.97%	up 0.18%
3-year ARM	–	0.00%	–	0.00%

Is Refinancing Right for You?

Refinancing can be a smart move if you can lower your interest rate, shorten your loan term, or switch from an adjustable-rate mortgage to a fixed-rate mortgage. However, it's important to consider closing costs and other fees. Always do the math to see if the long-term savings outweigh the upfront expenses. Everyone's situation is different.

Why Are Mortgage Rates So High in 2025?

Even though we're seeing slight decreases this week, many people are wondering, “Why are today's mortgage rates so stubbornly high in 2025?” It's a complex question with several factors at play. Here are a few key reasons:

• Lingering Inflation and Federal Reserve Caution: Inflation continues to be a concern, and the Federal Reserve is being very careful about cutting interest rates too quickly. They don't want to risk inflation spiking again! This cautious approach means we're likely in a “higher-for-longer” interest rate environment. Higher interest rates translate to higher mortgage rates.
• Bond Market Dynamics: Mortgage rates are closely tied to the yields on 10-year Treasury bonds. When those yields go up, so do mortgage rates.
• Economic and Political Factors: Global events, like geopolitical tensions, and uncertainty around economic policies can also influence mortgage rates. Investors may demand higher returns on bonds due to economic uncertainty, which can push rates higher.
• Housing Market Headwinds: Many homeowners are “locked in” to low mortgage rates from previous years, making them reluctant to sell. This reduces the available housing inventory, which can keep prices high. High prices and high mortgage interest rates create affordability challenges for many potential buyers.

Will Mortgage Rates Drop in 2025?

• No Ultra-Low Rates Reappearing: Those super-low rates we saw during the pandemic? Don't expect them to come back. We're talking about the historical rates like 2% to 3%, so it's unlikely to happen anytime soon.
• “Higher-for-Longer” is the Name of the Game: Experts are saying we're in a “higher-for-longer” interest rate situation. This means rates will probably stay higher for a while.
• Expect Gradual Drops: The Federal Reserve (the Fed) might make some cuts to interest rates, but these will likely happen slowly.
• Mortgage Rates Follow the Fed's Lead: Mortgage Rates tend to mirror the Federal Reserve's actions, so if the Fed cuts its benchmark rate, mortgage rates are likely to follow suit. That's just how it goes.
• Bond Market Matters: Mortgage rates are also heavily influenced by the yield on 10-year Treasury bonds. Currently, those bonds are showing a slight upward trend, which can impact mortgage rates.

In a nutshell, there's a chance mortgage rates could go down a bit in 2025, but it's not a sure thing. Whether they drop and how much they drop depends on what happens with the economy, the Fed's decisions, and what's going on around the world. It's a waiting game!