Looking to snag the best mortgage rate possible? As of today, June 13, 2025, the states with the cheapest 30-year new purchase mortgage rates are New York, Colorado, California, Connecticut, Washington, D.C., Massachusetts, and Washington, where average rates range from 6.73% to 6.80%. But remember, this is just a snapshot, and securing the best rate for you requires a bit more digging.

States With Lowest Mortgage Rates Today – June 13, 2025

The world of mortgages can seem like a maze of numbers, terms, and fine print. As someone who's spent years navigating this field, I understand how overwhelming it can be. That's why I'm here to break down today's mortgage rate situation, state by state, and give you the insights you need to make smart decisions. This analysis is based on the latest data from Investopedia, offering a clear understanding of the current mortgage rates.

Why Do Mortgage Rates Vary By State?

You might be wondering, “Why doesn't everyone just get the same rate?” It's a fair question! Several factors contribute to the variation we see across different states:

• Lender Presence and Competition: Not all lenders operate in every state. Where there's less competition, rates may be higher.
• State-Level Regulations: State laws governing mortgages can differ, impacting lender costs and, consequently, rates.
• Credit Score Averages: States with higher average credit scores might see slightly better rates overall, as lenders perceive less risk.
• Average Loan Sizes: If the average loan size in a state is larger, lenders might adjust rates accordingly to manage their portfolios.
• Risk Management Strategies: Each lender has its own approach to risk. Some might be more aggressive in offering lower rates to attract business, while others might prioritize profitability.

The Highs and Lows: A State-by-State Breakdown

Let's dive into the specifics. Earlier, I mentioned the states with the lowest rates. Here's a quick recap and comparison of the highest too.

States with the Lowest 30-Year Fixed Mortgage Rates (New Purchase) – June 13, 2025

• New York: 6.73%
• Colorado: 6.75%
• California: 6.76%
• Connecticut: 6.77%
• Washington, D.C.: 6.78%
• Massachusetts: 6.79%
• Washington: 6.80%

States with the Highestr 30-Year Fixed Mortgage Rates (New Purchase) – June 13, 2025

• West Virginia: 6.95%
• Alaska: 6.97%
• North Dakota: 6.98%
• Mississippi: 6.99%
• Wyoming: 7.00%
• Rhode Island: 7.01%

It's crucial to remember that these are just averages. Your individual rate will depend on your unique financial situation.

National Mortgage Rate Trends: Where Are We Heading?

It's not just about individual states; the national picture matters too. Here's a look at where national average mortgage rates stand right now, according to Zillow:

• 30-Year Fixed (New Purchase): 6.87%
• FHA 30-Year Fixed: 6.95%
• 15-Year Fixed: 5.91%
• Jumbo 30-Year Fixed: 6.84%
• 5/6 ARM: 7.13%

Rates on 30-year new purchase mortgages have been incrementally dropping for the past week, recovering from a surge, and are down from a high of 7.15% in May. While rates dipped to 6.50% in March, their lowest average of 2025, and 5.89% in September of the past year, we need to keep a close watch on the market.

Understanding the Fine Print: “Teaser Rates” vs. Actual Rates

You've probably seen those super-low mortgage rates advertised online. They can be tempting, but it's important to understand what you're really getting. These “teaser rates” often come with strings attached:

• Points: You might have to pay points (an upfront fee) to get that low rate.
• Ultra-High Credit Scores: The rate might only be available to borrowers with near-perfect credit.
• Small Loan Amounts: Some lenders offer lower rates on smaller loans.

The rate you actually secure will be based on your credit score, income, down payment, and other factors. Don't be afraid to ask lenders for a Loan Estimate to see the full picture.

What Drives Mortgage Rate Fluctuations?

Understanding the factors that influence mortgage rates is like understanding the financial weather forecast. Several key elements are at play.

• The Bond Market: Look into the 10-year treasury yields in the bond market and watch for changes there.
• The Federal Reserve (The Fed): The Fed is still purchasing bonds to a degree but at a tapered volume. The Fed has been incrementally cutting rates – starting with a cut of 0.50 percentage points and following with two more cuts of 0.25 points each. Keep in mind that the Fed has eight scheduled rate-setting meetings per year that could result in a hold announcement.
• Competition: This is true across all types of loan offerings, more competition will drive costs down.
• Inflation: Higher inflation will cause mortgage rates to increase.

What Can You Do to Get the Best Rate?

Okay, so you know where rates are and why they change. Now, let's talk about what you can do to land the best possible rate.

• Shop Around. Shop Around. Shop Around! I can't stress this enough. Get quotes from multiple lenders – banks, credit unions, online lenders – and compare them carefully.
• Boost Your Credit Score: Even a small improvement in your credit score can make a big difference in your interest rate. Pay bills on time, reduce your credit card balances, and correct any errors on your credit report.
• Save for a Larger Down Payment: A bigger down payment means less risk for the lender, which can translate to a lower rate.
• Consider a Shorter Loan Term: 15-year mortgages typically have lower interest rates than 30-year mortgages, although your monthly payments will be higher.
• Be Prepared to Negotiate: Don't be afraid to ask lenders if they can match or beat a competitor's offer. You might be surprised at their willingness to work with you.

The Bottom Line:

The mortgage market is constantly evolving. What's true today might not be true tomorrow. Stay informed, do your research, and work with trusted professionals who can guide you through the process. Buying a home is one of the biggest financial decisions you'll ever make. Take your time, and make sure you're making the right choice for you.

As of June 13, 2025, mortgage rates have shown fluctuations, with the average 30-year fixed mortgage rate currently remaining at 6.88%, which marks a substantial decrease of 11 basis points from last week's average of 6.99%. The national average for the 15-year fixed mortgage has risen slightly to 5.96%, while the 5-year adjustable-rate mortgage (ARM) rate has decreased to 7.17%. Here are more details about the current mortgage rate trends across various loan types.

Today’s Mortgage Rates – June 13, 2025: A Big Drop in Rates From Last Week

Key Takeaways

• 30-Year Fixed Mortgage Rate: 6.88%, down from 6.99%
• 15-Year Fixed Mortgage Rate: 5.96%, up from 5.94%
• 5-Year ARM Rate: 7.17%, down from 7.21%
• Current Refinance Rates: 30-Year fixed refinance at 7.08%, down from 7.09%
• Market Outlook: Rates expected to remain stable or slightly decrease through 2025

Current Mortgage Rates

Mortgage Rates fluctuate regularly based on various economic indicators, market conditions, and lender strategies. The following table outlines the average rates for various types of home loans as of June 13, 2025:

Loan Type	Rate (%)	1W Change (%)	APR (%)	1W Change (%)
30-Year Fixed Rate	6.88	-0.11	7.32	-0.13
20-Year Fixed Rate	6.55	-0.27	6.79	-0.45
15-Year Fixed Rate	5.96	+0.02	6.25	-0.11
10-Year Fixed Rate	6.03	+0.10	6.13	-0.04
7-Year ARM	6.64	-1.17	7.51	-0.72
5-Year ARM	7.17	-0.45	7.84	-0.16

Source: Zillow

A fixed-rate means your interest rate remains constant throughout the loan's duration, making it simpler to plan payments. On the other hand, ARMs might start lower, but they can increase after an introductory period, leading to unexpected fluctuations in monthly payments.

What Are Current Refinance Rates?

For those looking to refinance, the rates have also seen some changes. The current refinance rates are as follows:

Refinance Loan Type	Rate (%)	1W Change (%)	APR (%)	1W Change (%)
30-Year Fixed Refinance	7.08	-0.01	7.32	-0.13
15-Year Fixed Refinance	5.99	+0.07	6.25	-0.11
5-Year ARM Refinance	7.69	0.00	–	–

Source: Zillow

The 30-year fixed refinance rate has decreased by 1 basis point, now resting at 7.08%, down from last week's 7.09%. This decline can be beneficial for homeowners wishing to reduce their current mortgage payments, tap into equity for home improvements, or consolidate debt.

Understanding Mortgage Refinancing Costs

When refinancing, it’s essential to consider not only the rate change but also the costs involved. Refinancing entails several expenses which may offset any potential savings from a lower rate:

• Origination Fees: This is a fee charged by the lender for evaluating and preparing your mortgage. It can range from 0.5% to 1% of the total loan amount.
• Appraisal Fees: Typically costing between $300 to $700, these fees assess the property's value to ensure it meets the loan amount criteria.
• Closing Costs: Generally ranging from 2% to 5% of the loan amount, closing costs include various fees, such as title insurance and attorney fees.
• Prepayment Penalties: If your original mortgage has a prepayment penalty for paying off the loan early, this could significantly impact your refinancing decision.

For example, if you're refinancing a $300,000 loan, the closing costs could range from $6,000 to $15,000, which you need to weigh against the savings of a lower interest rate. An astute borrower would aim to evaluate the break-even point, which is the time it takes for the savings from lower monthly payments to surpass the costs associated with refinancing.

How to Find the Best Mortgage Rates in 2025?

Finding the ideal mortgage rate requires diligence. Here are several strategies to ensure you secure the best possible rate in 2025:

1. Research Multiple Lenders: Different lenders offer various rates and terms, so it’s necessary to shop around. Websites like Bankrate and Zillow provide comprehensive comparisons of rates from various lenders.
2. Check Your Credit Score: Your credit score plays an essential role in determining your mortgage rate. A higher credit score typically translates to lower rates. Before applying, check your credit report and work to enhance your score as needed.
3. Stay Informed on Market Trends: Pay attention to economic news and market trends, as these factors can influence mortgage rates. Understanding cycles in inflation, employment rates, and economic growth can gauge when to lock in a favorable rate.
4. Consider Loan Types: Review different loan types such as FHA, VA, conventional, and ARMs. Each loan type has its requirements, benefits, and potential risks.
5. Consult a Mortgage Broker: Mortgage brokers have access to a wide array of lenders and can often negotiate better rates on your behalf. They can filter through numerous options to find a mortgage that aligns with your financial situation.

Mortgage Rates Outlook for the Rest of 2025

Looking ahead, mortgage rates are expected to remain steady with varying forecasts predicting slight fluctuations. According to the National Association of REALTORS®:

• Forecast for 2025:
  • Existing Home Sales: Expected to see an increase of 6%
  • New Home Sales: Anticipated to rise by 10%
  • Median Home Prices: Projected to increase by 3%
  • Expected Mortgage Rate: Anticipated to settle at around 6.4%

Fannie Mae’s forecast also supports a softening of rates, predicting an end-of-year rate of 6.1%, down from 6.2% previously. Meanwhile, the Mortgage Bankers Association projects 30-year rates to stabilize near 6.7% through the summer months.

Freddie Mac, on the other hand, notes that while buyers may hope for a decrease in rates, it is more probable that they will remain elevated throughout 2025. High rates might deter some potential buyers, yet they might prompt others to act earlier due to the ongoing uncertainty in the market.

This current high-rate environment could encourage homeowners wishing to sell to enter the housing market sooner rather than later, leading to increased activity in home sales despite the overall level of sales still remaining below historical averages. According to Freddie Mac, the “rate lock-in” phenomenon—where homeowners feel stuck with their low-rate mortgages—may gradually decrease, allowing more inventory to hit the market.

Prices are also anticipated to appreciate, although at a more moderate pace compared to recent years. The home price growth, coupled with a projected increase in home sales, is likely to drive purchase volumes higher than in 2024. Slightly lower rates in 2025 should translate to increased refinancing activity as well, which is good news for lenders and potential borrowers alike.

In summary, today's mortgage rates reflect a complex web of economic factors and market strategies. Understanding these dynamics is crucial for anyone considering buying or refinancing a home in June 2025, as small changes in rates can have significant long-term financial impacts.

Looking for the best mortgage rates? As of today, June 12, 2025, the states boasting the lowest 30-year new purchase mortgage rates are New York, Massachusetts, Colorado, California, New Jersey, Washington, Texas, Florida, and Virginia. These states currently register average rates between 6.79% and 6.89%. Figuring out where to buy a home is tough enough; finding the lowest mortgage rate shouldn't be!

States With Lowest Mortgage Rates Today – June 12, 2025

I know what you're thinking: “Why do rates even change from state to state?” Well, let's dive in and see what impacts the mortgage rates and which states have the best deals right now.

Why Mortgage Rates Differ by State

Mortgage rates aren't uniform across the United States. Several factors play a role in these geographic variations. Here are a couple of main reasons that could affect the rate:

• Lender Presence: Not all lenders operate in every state. The competitive landscape can change based on which lenders are actively trying to gain market share in a specific region. More competition often leads to lower rates.
• State-Level Regulations: Mortgage regulations can vary significantly from state to state. These regulations can affect the cost of doing business for lenders and, consequently, the rates they offer.
• Credit Score Averages: States with higher average credit scores might see slightly better rates, as lenders perceive borrowers as less risky.*
• Average Loan Size: The average size of mortgages can impact rates since bigger the amount more the risk involved. If a state has a trend for taking bigger loans, there could be a rise in rate of interest.
• Risk Management Strategies: Different lenders have varying approaches to risk. Some might be more aggressive in offering lower rates to attract borrowers, while others might be more conservative.

These variations can significantly impact what you will ultimately pay for your mortgage. It always pays to be informed!

The Best Bang for Your Buck: States With the Lowest Mortgage Rates

Alright, let's get down to brass tacks. According to Investopedia, as of today, here's the breakdown of the states offering the most attractive 30-year new purchase mortgage rates:

• New York: The Empire State is starting to look enticing.
• Massachusetts: Chowda' and low rates? Sounds like a good deal.
• Colorado: The Rocky Mountain High is in Mortgage rate here
• California: Surprisingly, the Golden State makes the cut.
• New Jersey: The Garden State is home to big savings on mortgages.
• Washington: Escape to the great Northwest.. and save some money doing so.
• Texas: Everything's bigger in Texas. Including savings, apparently.
• Florida: The Sunshine State continues to get brighter.
• Virginia: The Old Dominion lives up to its nickname.

These states are currently offering average rates between 6.79% and 6.89%. Now, keep in mind this is just a snapshot in time and factors such as market volatility impact on rate of interest, but it gives you a solid starting point for your research.

The Other Side of the Coin: States With Higher Mortgage Rates

On the flip side, some states are seeing less favorable mortgage rates today. These states might have a combination of the factors mentioned above, leading to higher borrowing costs. For June 12, 2025, the states with the highest 30-year new purchase mortgage rates include:

• Alaska: Maybe the cost of living up north is just higher in general.
• West Virginia: Rates are among the highest in the nation.
• Mississippi: Buyers should be aware of these high rates.
• North Dakota: High rates are hitting this wheat-growing region.
• Maine: Rates are less than ideal in this coastal state.
• Kansas: Mortgage rates are pretty expensive here.
• New Mexico: Rates are not favorable for new home purchases.
• South Dakota: Home buyers may want to think twice.
• Wyoming: Rates are sky high during this period.

These states are registering refinance averages between 6.99% and 7.08%. If you're in one of these states, don't despair! Shopping around and improving your credit score can still help you secure a better rate.

Decoding National Mortgage Rate Trends

It's not just about state-specific rates. The national mortgage rate scene plays a big role. As of today, June 12, 2025, the national average for a 30-year new purchase mortgage is around 6.91%.

We've seen some movement in recent months. 30-year rates had dropped every day this week, fully erasing last week's two-day surge. The rates also witnessed an all time high mid-May, when the flagship average climbed to a one-year high of 7.15%. However, things can change quickly!

Here's a quick look at how rates have fluctuated this year:

• March: 30-year rates hit their lowest average of 2025 at 6.50%.
• September (Previous Year): Rates plunged to a two-year low of 5.89%.

Understanding these trends can help you time your mortgage application strategically, but remember that trying to time the market perfectly is almost impossible.

To get a better picture, here are the national averages for different loan types, as provided by the Zillow:

Loan Type	New Purchase Rate
30-Year Fixed	6.91%
FHA 30-Year Fixed	7.03%
15-Year Fixed	5.98%
Jumbo 30-Year Fixed	6.90%
5/6 ARM	7.15%

What's Driving These Fluctuations?

So, what's behind these ups and downs in mortgage rates? It's a complex mix of factors, including:

• Bond Market: Mortgage rates often follow the trajectory of the bond market, especially the 10-year Treasury yield.
• Federal Reserve (The Fed): The Fed's monetary policy, particularly its bond-buying programs and decisions about the federal funds rate, can significantly impact mortgage rates.
• Lender Competition: Competition among lenders can drive rates down as they try to attract borrowers and stay more competitive.

Remember the period between November 2021 and July 2023 and the aggressive measure taken by the Fed to combat the inflation? The Fed decided to raise the interest rate upto 5.25 percentage points over the period of sixteen months.

Calculating Your Potential Mortgage Payment

Okay, enough with the macroeconomics. Let's get practical. How do you figure out what your monthly mortgage payment might look like? Check out this example:

• Home Price: $440,000
• Down Payment: $88,000 (20%)
• Loan Term: 30 years
• APR (Interest Rate): 6.67%

Based on these figures, your estimated monthly payment would be around $2,649.04. Keep in mind this includes principal, interest, property taxes, and homeowners insurance. You will also need to consider things like Private Mortgage Insurance (PMI) if your down payment is less than 20%.

Don't forget that rates, insurance, and taxes are subject to change. Make sure you get the most updated information before making any decisions.

Shopping Around is Key

No matter what state you're in, shopping around for the best mortgage rate is an absolute must. Don't just take the first offer you get. Get quotes from multiple lenders and compare them carefully.

Here are a few tips for getting the best mortgage rate:

• Improve Your Credit Score: A higher credit score can qualify you for a lower rate.
• Save for a Larger Down Payment: Putting more money down can reduce the lender's risk and potentially lower your rate.
• Consider Different Loan Types: Explore options like adjustable-rate mortgages (ARMs) or government-backed loans (FHA, VA) to see if they offer better terms.
• Negotiate Fees: Don't be afraid to negotiate with lenders on fees like origination fees or points.

The Bottom Line

Mortgage rates are a moving target. While certain states currently offer lower rates, the overall market is constantly changing. By understanding the factors that influence rates and shopping around for the best deal, you can position yourself to save money on your home purchase. Staying informed is the key tool to crack the best mortgage options.

Mortgage rates are a vital indicator of the health of the housing market and have a profound impact on consumer purchasing power, refinancing decisions, and overall economic confidence. As of June 12, 2025, mortgage rates have shown signs of slight decline, sparking cautious optimism among prospective homebuyers and current homeowners.

Today’s Mortgage Rates – June 12, 2025: Rates Are Notably Down Amid Economic Shifts

The latest data from Zillow shows a subtle but noteworthy dip in mortgage rates compared to prior weeks. After months of relatively elevated rates, even small decreases can make a substantial difference in affordability for many homebuyers.

National Average Mortgage Rates

Loan Type	Current Rate	Change from Last Week	APR	APR Change
30-Year Fixed	6.91%	-0.08%	7.34%	-0.11%
15-Year Fixed	5.97%	-0.03%	6.25%	-0.11%
5-Year ARM	7.30%	No change	7.83%	-0.17%

Key Observations:

• The national average for 30-year fixed-rate mortgages fell slightly from 6.99% last week to 6.91%.
• The 15-year fixed mortgage rate slipped below 6% for the first time in weeks.
• The 5-year ARM rate remains steady, but its APR slightly improved, reflecting marginally better borrowing costs.

This slight decline could stem from a mix of market reactions to economic data releases, inflation trends, and investor expectations for Federal Reserve monetary policy.

Detailed Mortgage Rates by Loan Type

Mortgage rates are not uniform; they differ by loan program, loan term, and borrower qualifications. Below is a breakdown of rates across the major loan categories:

Conforming Loan Rates

Program	Rate	Weekly Change	APR	Weekly APR Change
30-Year Fixed	6.91%	-0.08%	7.34%	-0.11%
20-Year Fixed	6.31%	-0.51%	6.73%	-0.51%
15-Year Fixed	5.97%	-0.09%	6.25%	-0.11%
10-Year Fixed	5.93%	No Change	6.26%	+0.09%
7-Year ARM	6.64%	-1.17%	7.51%	-0.72%
5-Year ARM	7.30%	-0.32%	7.83%	-0.17%

The 7-year ARM and 20-year fixed loans show the steepest weekly decline, signaling lender competition in these niches.

Government-Backed Loans

Program	Rate	Weekly Change	APR	Weekly APR Change
30-Year Fixed FHA	6.81%	-0.11%	7.83%	-0.11%
30-Year Fixed VA	6.36%	-0.09%	6.57%	-0.09%
15-Year Fixed FHA	5.70%	+0.01%	6.67%	0.00%
15-Year Fixed VA	5.89%	-0.08%	6.24%	-0.09%

Government loans consistently offer slightly better rates for qualified borrowers due to backing by federal agencies, which reduces lender risk.

Jumbo Loans

Program	Rate	Weekly Change	APR	Weekly APR Change
30-Year Fixed Jumbo	7.30%	-0.12%	7.76%	-0.04%
15-Year Fixed Jumbo	6.54%	-0.23%	6.82%	-0.19%
7-Year ARM Jumbo	7.53%	No Change	8.06%	No Change
5-Year ARM Jumbo	7.16%	-0.51%	7.77%	-0.28%

Insights:

• Jumbo loan rates remain higher than conforming loans, reflecting greater lender risk due to larger loan amounts.
• Adjustable-rate jumbo loans have also shown downward movement, which could appeal to high-income borrowers seeking smaller payments in early years.

Factors Influencing Current Mortgage Rates

Understanding what drives mortgage rates helps borrowers anticipate trends and make better decisions.

Federal Reserve Monetary Policy

While mortgage rates do not directly track the Fed’s federal funds target rate, Fed policy heavily influences long-term interest rates through bond markets. Currently, the Federal Reserve is in a holding pattern, waiting on further economic data to determine if rate cuts are warranted. If the Fed cuts rates later this year, mortgage rates could fall in response.

Inflation and Economic Data

Mortgage rates generally rise with inflation since lenders demand higher yields to offset declining purchasing power. Recent inflation trends showing moderating price increases have contributed to downward pressure on mortgage rates.

Bond Market Movements

Mortgage rates closely correlate to yields on 10-year Treasury notes. Increased demand for safe-haven Treasuries can drive yields lower, leading to better mortgage rate offers.

Housing Market Conditions

A slowdown in home sales and price appreciation can indirectly influence rates by altering lender risk appetite and competition.

How To Get The Best Mortgage Rates Today

Securing the lowest possible rate requires more than timing the market. Here are actionable tips to optimize your mortgage application:

1. Strengthen Your Credit Profile

Your credit score is one of the most significant factors affecting your mortgage rate. Steps include:

• Paying down credit card balances.
• Avoiding new credit inquiries.
• Correcting errors on your credit report.
  Lenders reward higher credit scores with lower interest rates because those borrowers are statistically less risky.

2. Maintain Stable Income and Employment

Verifiable and steady income reassures lenders, sometimes resulting in better loan offers.

3. Save for a Larger Down Payment

Higher down payments reduce loan-to-value ratios, decreasing lender risk and unlocking better rates and loan programs.

4. Shop and Negotiate with Multiple Lenders

Don’t settle for the first offer — get rate quotes from banks, credit unions, mortgage brokers, and online lenders. Compare not only interest rates but also APRs and closing costs to understand the total cost.

5. Consider Points and Loan Terms

Paying mortgage points upfront can reduce the interest rate. Additionally, choosing a shorter loan term (e.g., 15 years) usually yields lower rates, though monthly payments increase.

6. Lock Your Rate at the Right Time

Once you find a favorable rate, lock it to protect against upward volatility during the underwriting process. Rate lock durations vary, so ask your lender about options.

Will Mortgage Rates Go Down?

Predicting future mortgage rates remains inherently uncertain but analysis from expert organizations provides insight:

Expert Forecasts for 2025 and Beyond

• Fannie Mae expects the 30-year fixed mortgage rate to average near 6.1% by the end of 2025.
• Freddie Mac reports rates have ranged from 6.08% to 7.04% during early 2025.
• The National Association of Realtors projects an average 6.4% in 2025, gradually falling to 6.1% in 2026.
• Realtor.com anticipates rates dropping slightly to 6.2% toward year-end.

Factors That Could Lower Rates:

• Federal Reserve rate cuts if economic growth slows.
• Continued moderation in inflation, easing bond yields.
• Increased demand for mortgage-backed securities (MBS) supporting loan pricing.

Risks That Could Keep Rates Elevated:

• Persistent inflation pressures.
• Robust economic growth driving bond yields higher.
• Global economic instability increasing market volatility.

Understanding Current Refinance Rates

Refinancing remains an important strategy for many homeowners seeking to capitalize on falling rates or adjust loan terms.

Refinance Rates Snapshot as of June 12, 2025

Loan Type	Refinance Rate	Weekly Change	APR	Weekly APR Change
30-Year Fixed	7.09%	-0.06%	7.40%	-0.10%
15-Year Fixed	6.00%	-0.01%	6.26%	-0.03%
5-Year ARM	7.81%	+0.87%	8.10%	+0.15%
30-Year Fixed FHA	6.53%	-0.16%	7.55%	-0.17%
30-Year Fixed VA	6.71%	+0.13%	6.93%	+0.16%

Refinance rates tend to be slightly higher than purchase mortgage rates due to underwriting risk and fees. The 5-year ARM refinance rate saw a notable increase, reflecting possible changes in adjustable rate market demand.

Should You Refinance Your Mortgage in 2025?

Refinancing is not a one-size-fits-all solution. Consider your individual financial situation:

When to Refinance:

• Lower Interest Rates: Refinancing makes sense when current rates are at least 0.5% to 1% lower than your original mortgage. This gap helps offset closing costs and makes monthly payments more affordable.
• Shortening Loan Term: Refinancing to a shorter-term loan can save thousands in interest over the life of the mortgage, though monthly payments increase.
• Switching from ARM to Fixed: Homeowners concerned about future rate hikes may refinance from an adjustable-rate mortgage to a fixed-rate loan for payment stability.
• Cash-Out Refinancing: Accessing equity through refinancing can fund home improvements, college tuition, or debt consolidation but increases loan balance and monthly payments.

Important Considerations:

• Calculate the break-even point to determine how long it will take for the savings to cover refinancing costs.
• Evaluate the impact on your credit score, which may dip temporarily after refinancing.
• Assess your plans for staying in the home; refinancing is more beneficial if you plan to keep the property long term.

Meeting with a mortgage advisor for a personalized analysis is highly recommended.

Key Takeaways

• Mortgage rates across the board are trending slightly downward as of June 12, 2025, providing opportunities for buyers and refinancers.
• Rates vary considerably by loan type, with government-backed loans generally offering more favorable terms.
• Economic factors, Federal Reserve policy, and inflation continue to be primary drivers of mortgage rate fluctuations.
• Borrowers can secure better rates through strong credit, diligent lender shopping, and prudent financial planning.
• Expert forecasts suggest modest rate declines in the latter half of 2025 but expect some ongoing volatility.
• Refinancing remains a powerful tool if rates are favorable and long-term savings surpass refinancing costs.

Summary

As of mid-2025, mortgage rates demonstrate a modest easing, with the 30-year fixed rate averaging 6.91%. This environment offers a cautiously optimistic outlook for homebuyers and homeowners seeking to refinance. Understanding the numerous factors that influence rates, from Federal Reserve decisions to inflation data, empowers consumers to navigate the housing finance landscape more effectively.

Securing the best mortgage rate requires preparation, credit strength, and market insight, while the decision to refinance hinges on individual financial goals and current rate comparisons. Although uncertainty remains regarding the pace of future rate declines, staying informed and proactive will enable borrowers to capitalize on opportunities as the year progresses.

Looking for the best deal on a mortgage? As of today, June 11, 2025, the states with the lowest 30-year new purchase mortgage rates are New York, Colorado, California, Virginia, Connecticut, and New Jersey, closely followed by Florida and Texas. These states boast average rates ranging from 6.82% to 6.93%. Let's dive into why this is the case and what it means for you.

States With Lowest Mortgage Rates Today – June 11, 2025

Why Do Mortgage Rates Vary By State?

This isn't just some random occurrence – several factors contribute to these differences. As someone who's followed the mortgage market for years, I can tell you that it's rarely simple. Here's a breakdown of the key influences:

• Lender Presence: Not every bank or mortgage company operates in every state. The level of competition among lenders can significantly impact rates. If there are more lenders vying for your business, you're more likely to get a better deal.
• Credit Scores: Average credit scores vary state by state. States with higher average credit scores tend to see slightly better rates overall. It's all about perceived risk for the lender.
• Average Loan Size: The size of the average mortgage loan can also play a role. States with higher property values might see lenders adjusting rates accordingly.
• State Regulations: Each state has its own set of regulations governing the mortgage industry. These regulations can influence how lenders operate and, consequently, the rates they offer.
• Lender Risk Management: Ultimately, it boils down to how lenders manage risk. Some lenders might be more aggressive in certain markets, offering lower rates to attract more business.

The Cheapest Vs. The Most Expensive: A Tale of Two Economies

While some states are enjoying rates below 7%, others aren't so lucky. According to Investopedia's report, the states with the highest 30-year new purchase mortgage rates today are Alaska, West Virginia, Mississippi, Kansas, North Dakota, Arkansas, South Dakota, and Wyoming, averaging between 7.02% and 7.10%. That's a pretty significant difference, and it could impact your ability to afford a home in those states.

It's important to note that these are just averages. Your individual rate will depend on your unique financial situation.

National Mortgage Rate Trends: A Bird's Eye View

Let's take a step back and look at the bigger picture. According to Zillow, the national average for a 30-year new purchase mortgage currently sits at 6.96%. This is lower than the mid-May high of 7.15%, which is encouraging. Here's a quick summary of recent trends:

• Current Average (June 11, 2025): 6.96%
• Mid-May 2025 High: 7.15%
• March 2025 Low: 6.50%
• September (Two-Year) Low: 5.89%

As you can see, rates have been fluctuating quite a bit. It's a good reminder that the mortgage market is dynamic and influenced by many external forces. Staying informed is key!

A Quick Look at National Averages for Different Loan Types

Here's a table showing the current national averages for various loan types:

Loan Type	New Purchase Rate
30-Year Fixed	6.96%
FHA 30-Year Fixed	7.10%
15-Year Fixed	6.01%
Jumbo 30-Year Fixed	6.94%
5/6 ARM	7.15%

Understanding Teaser Rates

You've probably seen those incredibly low mortgage rates advertised online. Be careful! Those are often “teaser rates” designed to grab your attention. They might require you to:

• Pay points upfront (effectively pre-paying interest)
• Have an exceptionally high credit score
• Qualify for a smaller-than-typical loan

In reality, the rate you actually get will depend on your individual circumstances, including your credit score, income, debt-to-income ratio, and down payment. So, it's essential to compare real offers, not just be swayed by advertised rates.

How to Shop Around for the Best Mortgage Rate

• Check with local banks and credit unions: They sometimes have better deals than larger, national lenders.
• Obtain quotes from 3-5 different lenders: Don't settle for the first offer you get. Comparisons can save you money.
• Negotiate aggressively: Let lenders know that you are shopping around and are very willing to move on to the next competitive lender if they can't compete.
• Understand all the fees involved: Don't just focus on the interest rate. Look at the total cost of the mortgage, including origination fees, appraisal fees, and other closing costs.

Decoding the Mortgage Payment Puzzle

A mortgage payment is more than just principal and interest. It also includes:

• Principal: The amount you borrow
• Interest: The cost of borrowing the money
• Property Taxes: Taxes levied by your local government
• Homeowners Insurance: Covers damage to your home

Use a mortgage calculator to estimate your monthly payment based on different loan scenarios.

Mortgage Calculator Example

• Home Price: $440,000
• Down Payment: $88,000 (20%)
• Loan Term: 30 years
• APR: 6.67%

Estimated Monthly Payment: $2,649.04/month

Breakdown:

• Principal & Interest: $2,264.38
• Property Taxes: $256.67
• Homeowners Insurance: $128.00
• Mortgage Interest*: $463,176.16
• Total Mortgage Paid*: $815,176.16

The Forces Behind Mortgage Rate Fluctuations

Understanding what causes mortgage rates to rise or fall can help you make informed decisions about when to buy or refinance. Here are the main factors:

• The Bond Market: Mortgage rates tend to follow the movement of 10-year Treasury yields. Basically, if bond yields rise, mortgage rates often follow suit, and vice versa.
• The Federal Reserve (The Fed): The Federal Reserve's monetary policy plays a significant role. Actions like buying bonds or adjusting the federal funds rate can indirectly influence mortgage rates.
• Competition Among Lenders: When lenders are competing fiercely for business, they might lower rates to attract borrowers.
• Inflation: High inflation can push rates higher as lenders demand a greater return to offset potential losses in purchasing power.

The Bottom Line

Navigating the mortgage market can feel overwhelming, but knowledge is power. By understanding the factors that influence mortgage rates and shopping around for the best deal, you can increase your chances of securing an affordable home loan. Keep an eye on the states with the lowest mortgage rates and be prepared to act when the time is right.

As of June 11, 2025, mortgage rates have shown a slight decrease, with the national average for a 30-year fixed mortgage rate at 6.95%, down from 6.96% last week. This trend indicates that rates have been easing over the past several weeks, which could be beneficial for potential homebuyers and those considering refinancing their existing loans.

Today’s Mortgage Rates – June 11, 2025: A Steady Drop in Rates Across the Board

Key Takeaways:

• The 30-year fixed mortgage rate is down to 6.95%.
• The 15-year fixed mortgage rate has also decreased to 6.02%.
• The current 30-year fixed refinance rate has increased to 7.26%.
• Mortgage rates are expected to remain stable, with potential for gradual decreases later in the year based on economic conditions and Federal Reserve policies.

Current Mortgage Rates

Understanding today’s mortgage rates requires us to differentiate between fixed and adjustable-rate mortgages as well as the terms of the loans. Below, we summarize the current mortgage and refinance rates, primarily based on data provided by Zillow.

Mortgage Rates Overview

Loan Type	Current Rate	1 Week Change	APR	1 Week Change
30-Year Fixed	6.95%	Down 0.04%	7.38%	Down 0.06%
20-Year Fixed	6.23%	Down 0.59%	6.75%	Down 0.50%
15-Year Fixed	6.02%	Down 0.04%	6.30%	Down 0.06%
10-Year Fixed	6.16%	Up 0.23%	6.52%	Up 0.35%
7-Year ARM	8.41%	Up 0.60%	8.75%	Up 0.52%
5-Year ARM	7.34%	Down 0.28%	7.86%	Down 0.14%

(Source: Zillow)

Current Refinance Rates

For refinancing, rates have diverged from the primary mortgage rates, with the 30-year fixed refinance rates climbing higher this week.

Loan Type	Current Rate	1 Week Change	APR	1 Week Change
30-Year Fixed	7.26%	Up 0.08%	7.38%	Down 0.06%
20-Year Fixed	6.23%	Down 0.59%	6.75%	Down 0.50%
15-Year Fixed	6.26%	Up 0.23%	6.30%	Down 0.06%
10-Year Fixed	6.16%	Up 0.23%	6.52%	Up 0.35%
7-Year ARM	8.41%	Up 0.60%	8.75%	Up 0.52%
5-Year ARM	6.94%	0.00%	7.86%	Down 0.14%

(Source: Zillow)

Market Trends and Economic Influences

Understanding the current mortgage rates requires us to look at the broader economic landscape. Mortgage rates are often influenced by various factors, including inflation, employment rates, and monetary policies set forth by the Federal Reserve.

Interest Rates and Inflation

Inflation significantly impacts mortgage rates. As inflation rises, lenders tend to increase rates to safeguard their profits. Conversely, a decrease in inflation could mean lower mortgage rates. Recent indicators, such as the Consumer Price Index (CPI), suggest that inflation is gradually declining, which raises hopes for a reduction in mortgage rates in the coming months.

Historical Context of Mortgage Rates

In the past few years, mortgage rates have fluctuated considerably due to shifts in economic conditions. Historically, anything below 7% could be regarded as favorable. With the average 30-year fixed mortgage rate currently at 6.95%, buyers have the opportunity to lock in relatively low rates when compared to the highs seen in previous years.

Federal Reserve's Role

The Federal Reserve exerts significant influence over mortgage rates through its monetary policies. The expectation is that the Federal Reserve will maintain its current stance on interest rates in its next meeting, signaling a pause on increases in the short term. Such stability can lead to more predictable mortgage rates for borrowers.

Economic Growth and Unemployment

The state of economic growth plays a large role in mortgage pricing. Current indications suggest a sluggish economy, which could contribute to further declines in mortgage rates. The unemployment rate remains low, but wage growth has been inconsistent, limiting consumer spending power.

Refinancing Considerations

Refinancing may be an attractive option, especially as mortgage rates decline. However, potential borrowers must consider various factors before making this decision:

Pros:

• Lower Monthly Payments: A reduced interest rate means lower monthly payments, allowing for increased cash flow.
• Equity Access: Refinancing can allow homeowners to tap into available equity for upgrades or consolidating debt.
• Shorter Loan Terms: Moving to a shorter-term loan could result in paying less interest over the loan's lifetime.

Cons:

• Closing Costs: Borrowers need to be aware that refinancing comes with closing costs that may negate some savings from lower rates.
• Resetting of Terms: Refinancing could reset the loan term, potentially increasing the overall interest paid over time.
• Impact on Credit: The refinance process typically involves a hard credit inquiry, which can temporarily affect credit scores.

Predictions for Mortgage Rates in 2025

Looking ahead, several predictions indicate that mortgage rates may continue to drop throughout 2025. Various financial institutions offer different forecasts, but there appears to be a general consensus that:

• Mid-2025 Targets: Predicted rates could fall between 5.5% to 6.5% for the average 30-year fixed-rate mortgage.
• End-of-Year Projections: By the end of 2025, rates may stabilize around 6.0%, offering favorable terms for both homebuyers and those considering refinancing.

Rate Predictions for 2025

Forecast Period	Expected Rate (%)	Sources
Mid-2025	5.5% – 6.5%	Freddie Mac, Fannie Mae
End-2025	6.0%	Freddie Mac, Bankrate
End-2026	6.2%	Fannie Mae

Factors Influencing Homebuyers Today

Several related topics are important to discuss in the context of today's mortgage rates. Understanding these elements can help prospective homebuyers make more informed decisions:

Housing Market Inventory

The housing market has seen fluctuations in inventory levels, impacting home prices and mortgage rates. A decrease in available homes often results in a competitive market, keeping prices elevated. It’s vital for buyers to stay abreast of local inventory trends, especially as construction rates increase or slow.

Impact of Current Events

Global events can significantly affect the housing market and mortgage rates. For instance, geopolitical tensions, trade agreements, or significant economic policies can create ripples throughout the economy. Potential homeowners should consider how such factors might influence their purchasing power or the interest rates they are offered.

Technological Influences

Technology in the real estate and mortgage sectors has improved accessibility and efficiency in securing loans. Online platforms make it easier for borrowers to compare mortgage rates, access mortgage calculators, and complete applications. Understanding how to leverage these technological advancements can be beneficial for modern homebuyers looking to secure the best possible rates.

Summary:

In summary, mortgage rates today are showing a slight decrease, indicating potential advantages for homebuyers or those considering refinancing. Monitoring economic indicators and Federal Reserve policies will be crucial in understanding future mortgage rate movements.

If you're in the market for a new home or looking to refinance, you're probably wondering where you can snag the best deal on a mortgage. As of today, June 10, 2025, the states with the lowest 30-year new purchase mortgage rates are New York, Colorado, California, Connecticut, Washington, Massachusetts, New Jersey, and Pennsylvania, with averages ranging from 6.87% to 6.97%. But what does this mean for you, and why do rates vary so much from state to state? Let's dive deep into understanding mortgage rates and how to find the best one for you.

States With Lowest Mortgage Rates Today – June 10, 2025

Why Mortgage Rates Vary by State

Have you ever wondered why a friend in one state gets a better mortgage rate than you do, even if you have similar credit scores? It's not just random luck. Several factors influence mortgage rates at the state level:

• Varying Lender Presence: Not all lenders operate in every state. The level of competition among lenders in a particular area can significantly impact the rates they offer. If there are only a few lenders, they may not need to be as competitive, leading to higher rates.
• Credit Score Averages: States with higher average credit scores might see lower mortgage rates overall. Lenders perceive borrowers in these states as less risky.
• Average Loan Size: The average loan size in a state can also play a role. Larger loan sizes might be seen as riskier, or they might allow lenders to offer slightly lower rates because of the higher overall revenue.
• State-Level Regulations: Each state has its own unique set of regulations regarding mortgages. These regulations can affect the costs and risks associated with lending, which, in turn, influences mortgage rates.
• Risk Management Strategies: Lenders have different risk management strategies. Some lenders might be more conservative and offer higher rates to mitigate perceived risks, while others might be more aggressive and offer lower rates to attract more business.

Today's National Mortgage Rate Averages

According to Investopedia, after a brief rise, rates on 30-year new purchase mortgages have decreased slightly, averaging around 7.00% as of Monday, June 10, 2025. While this is a slight dip from the one-year high of 7.15% in mid-May, it's important to remember that mortgage rates are constantly fluctuating. Let's take a closer look at the national averages for different loan types from Zillow:

Loan Type	New Purchase
30-Year Fixed	7.00%
FHA 30-Year Fixed	7.15%
15-Year Fixed	6.05%
Jumbo 30-Year Fixed	6.99%
5/6 ARM	7.30%

States With the Cheapest Mortgage Rates

Here’s a breakdown of the cheapest 30-year new purchase mortgage rates by state:

• New York (6.87%): Known for its robust financial sector, New York often sees competitive mortgage rates.
• Colorado (6.89%): A growing economy and a desirable real estate market can contribute to favorable rates.
• California (6.91%): Despite its high home prices, California's large market often sees competitive rates.
• Connecticut (6.93%): With a relatively stable housing market, Connecticut can offer attractive mortgage rates.
• Washington (6.94%): The tech industry boom in Washington might contribute to a healthy housing market and competitive rates.
• Massachusetts (6.95%): Similar to New York, Massachusetts has a strong financial sector that supports competitive mortgage rates.
• New Jersey (6.96%): Proximity to major financial hubs, along with varying factors , can drive down rates in New Jersey.
• Pennsylvania (6.97%): Has become the 24th most moved-in state, and third best northeast state for inbound moves.

States With the Most Expensive Mortgage Rates

On the other end of the spectrum, these states have the highest 30-year rates which range from 7.05% to 7.13% :

• Alaska
• West Virginia
• Mississippi
• Hawaii
• Nevada
• New Mexico
• Iowa
• Nebraska
• North Dakota
• Vermont

These states might have higher rates due to a combination of factors, including less competition among lenders, higher perceived risk, or state-specific regulations.

Don't Fall for Teaser Rates

Have you ever seen those incredibly low mortgage rates advertised online and wondered if they're too good to be true? They probably are. These “teaser rates” are often cherry-picked as the most attractive and don't represent the average rates available. Here's what to keep in mind:

• Points: Teaser rates often require you to pay points upfront, which are fees you pay to the lender to lower your interest rate. Paying points can make sense if you plan to stay in the home for a long time, but it might not be worth it if you plan to move in a few years.
• Ultra-High Credit Scores: These rates might be available only to borrowers with exceptional credit scores. If your credit score isn't perfect, you won't qualify for the advertised rate.
• Smaller Loan Sizes: Sometimes, teaser rates are only available for smaller-than-typical loans.
• The rate you ultimately secure will be based on factors like your credit score, income, and more, so it can vary from the averages you see here.

Factors influencing these predictions:

• Federal Reserve (Fed) policy: The Fed's decisions on interest rates play a significant role in mortgage rates. While some expect the Fed to eventually cut rates, the timing and extent of those cuts remain uncertain.
• Inflation: Persisting inflationary pressures may lead to slower or more gradual rate cuts, potentially keeping mortgage rates higher for longer.
• Economic growth and stability: The overall health of the economy, including potential recessions or continued growth, can impact mortgage rates.
• Treasury yields: Long-term Treasury yields, which are closely linked to mortgage rates, are also a key factor in the forecast.

What Causes Mortgage Rates to Rise or Fall?

Mortgage rates aren't just pulled out of thin air. They're influenced by a complex web of factors, including:

• Bond Market: Mortgage rates are closely tied to the bond market, particularly the 10-year Treasury yield. When Treasury yields rise, mortgage rates tend to follow suit.
• The Federal Reserve (The Fed): The Fed's monetary policy, including its bond-buying programs and federal funds rate, can significantly impact mortgage rates.
• Competition: The level of competition among mortgage lenders affects rates. More competition typically leads to lower rates.

It's tough to pinpoint exactly how much any one factor affects rates. It's more like a complex dance where these influences all move together.

Looking Ahead: Mortgage Rate Predictions for 2025

So, what can you expect for mortgage rates in the coming months? While it's impossible to predict the future with certainty, here's what experts are saying:

• Experts generally predict that mortgage rates will generally trend downward, though not to the historically low levels seen during the pandemic. Most forecasts anticipate rates settling between 5.5% and 6.5% by mid-2025, potentially reaching 6.2% or 6.1% by the end of the year. However, some projections suggest a more cautious approach, with rates remaining above 6.5% throughout the year.
• Fannie Mae anticipates rates to end 2025 at 6.1% and 5.8% by the end of 2026.
• The Mortgage Bankers Association (MBA) projects a more cautious outlook, with rates possibly remaining above 6.7% for a longer period.
• National Association of Realtors (NAR) foresees an average rate of 6.4% in 2025.
• Redfin predicts rates to start and end the year around 7%, with an average of 6.8%.

My Advice

Based on what I know, I can say that even if mortgage rates decline as projected, they are unlikely to return to the very low levels seen during the pandemic. The extent and timing of those declines will depend on a variety of factors, including economic conditions and the Fed's actions.

Important Takeaway

Mortgage rates are expected to decrease slightly throughout 2025

How to Get the Best Mortgage Rate

Given all these factors, what can you do to secure the best mortgage rate possible? Here are a few tips:

• Shop Around: Don't settle for the first rate you're offered. Get quotes from multiple lenders to see who can offer you the best deal.
• Improve Your Credit Score: A higher credit score usually means a lower interest rate. Check your credit report and take steps to improve your score before applying for a mortgage.
• Save for a Larger Down Payment: A larger down payment can lower your interest rate and reduce your monthly payments.
• Consider a Shorter Loan Term: 15-year fixed-rate mortgages typically have lower interest rates than 30-year mortgages. You'll pay more each month, but you'll save a lot on interest over the life of the loan.
• Negotiate: Don't be afraid to negotiate with lenders. If you get a better offer from another lender, let your current lender know. They might be willing to match or beat the offer.

Finding the right mortgage rate can be a challenge, but with a bit of research and preparation, you can save thousands of dollars over the life of your loan. Good luck!

On June 10, 2025, mortgage rates have seen a modest decrease. According to Zillow, the average 30-year fixed mortgage rate is now at 6.98%, down from 6.99% previously. Meanwhile, refinance rates for a 30-year fixed mortgage have dropped to 7.16%, a decline from 7.25% last week. This slight dip in rates is a reassuring sign for many potential homebuyers and those considering refinancing their existing loans.

Today’s Mortgage Rates – June 10, 2025: Slight Dip in Rates is a Reassuring Sign

Key Takeaways

• Current 30-year fixed mortgage rate: 6.98%
• Current refinance rate for 30-year fixed: 7.16%
• Market factors: Bond yields have fallen as investors await key economic news.
• Predictions: Rates are expected to remain stable, with a possibility of a downward trend in the coming months.

The Mortgage Market's Recent Trends

The mortgage market has been operating in a complex environment influenced by various economic factors. Over the past year, potential homebuyers and homeowners alike have experienced a rollercoaster ride with rates, driven by Federal Reserve policies, inflation concerns, and shifts in the housing market. As of June 10, 2025, the average rates reflect an industry striving for stability while reacting to ongoing economic signals.

The 30-year fixed mortgage rate serves as a primary benchmark for home financing. Many people favor this type due to its predictability—once secured, the interest rate remains constant throughout the life of the loan. Currently, the rate stands at 6.98%, offering a semblance of relief for homebuyers after an extended period of heightened rates.

Breakdown of Current Mortgage Rates

Different mortgage options are available, and knowing the current market rates can help you determine which product best suits your needs. Below, we provide an overview of rates categorized by loan types: conforming loans, government loans, and jumbo loans.

Conforming Loans

These loans meet the underwriting guidelines set by Fannie Mae and Freddie Mac, making them widely available and typically featuring competitive rates.

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate	6.98%	down 0.01%	7.44%	down 0.01%
20-Year Fixed Rate	6.80%	down 0.02%	7.29%	up 0.05%
15-Year Fixed Rate	6.07%	up 0.01%	6.37%	up 0.01%
10-Year Fixed Rate	6.16%	up 0.23%	6.52%	up 0.35%
7-Year ARM	8.41%	up 0.60%	8.75%	up 0.52%
5-Year ARM	7.38%	down 0.24%	7.88%	down 0.12%

Source: Zillow

Government Loans

These loans are backed by governmental entities (FHA, VA, USDA), making them more accessible for first-time buyers or those with lower credit scores.

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate FHA	6.92%	up 0.01%	7.96%	up 0.01%
30-Year Fixed Rate VA	6.45%	0.00%	6.66%	down 0.01%
15-Year Fixed Rate FHA	5.88%	up 0.20%	6.87%	up 0.20%
15-Year Fixed Rate VA	5.94%	down 0.04%	6.30%	down 0.02%

Jumbo Loans

Jumbo loans refer to mortgages that exceed the conforming loan limits set by government-sponsored enterprises. These loans typically have higher interest rates.

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed Rate Jumbo	7.35%	down 0.07%	7.76%	down 0.04%
15-Year Fixed Rate Jumbo	6.35%	down 0.41%	6.67%	down 0.35%
7-Year ARM Jumbo	7.53%	0.00%	8.06%	0.00%
5-Year ARM Jumbo	8.28%	up 0.61%	8.40%	up 0.34%

Understanding Mortgage Types and Their Implications

When evaluating mortgage options, it’s important to understand the differences between fixed-rate and adjustable-rate mortgages (ARMs). Fixed-rate mortgages, as mentioned earlier, provide stability, while ARMs often start with lower rates that may increase after a predetermined period. For instance, a 7-year ARM may offer a low rate initially, but future adjustments can lead to higher payments once the adjustment period expires.

Moreover, the choice between a long-term loan and a short-term loan can significantly impact your monthly payments and the overall cost of borrowing. In general, shorter-term loans tend to come with lower interest rates but higher monthly payments. For example, a 15-year fixed mortgage carries an interest rate of 6.07%, which, though slightly higher than rates on more extended terms, allows homeowners to pay off their debt more quickly and often leads to substantial interest savings over the life of the loan.

Current Refinance Rates

For many homeowners, refinancing an existing mortgage offers a chance to obtain a lower interest rate, reduce monthly payments, or withdraw equity for other financial needs. As of June 10, 2025, refinance rates are seeing slight reductions, which may appeal to homeowners considering this path.

PROGRAM	RATE	1W CHANGE	APR	1W CHANGE
30-Year Fixed	7.16%	down 0.09%	7.44%	down 0.01%
20-Year Fixed	6.80%	down 0.02%	7.29%	up 0.05%
15-Year Fixed	6.13%	up 0.06%	6.37%	up 0.01%
10-Year Fixed	6.16%	up 0.23%	6.52%	up 0.35%
5-Year ARM	8.20%	0.00%	8.20%	0.00%

Source: Zillow

The Economic Context

Understanding mortgage rates also involves recognizing the broader economic context. Recent decreases in bond yields indicate a cautious approach among investors regarding upcoming economic data. Investors are awaiting fresh insights into inflation and trade relations, particularly with significant meetings scheduled between key players in the global economy.

A notable aspect is the 10-year Treasury yield, which influences mortgage rates directly. As this benchmark yield falls, it generally leads to lower mortgage rates. On Monday, the yield fell by 0.62%, with investors holding their positions until the release of crucial inflation data this week. Experts anticipate that inflation, while still a concern, might show signs of stabilization, which would positively impact mortgage rates.

Predictions for Future Mortgage Rates

Looking ahead, various agencies and organizations have made predictions about the trajectory of mortgage rates over the next few months based on evolving economic conditions. Here are key insights from leading experts:

• Fannie Mae: Forecasts suggest that the average 30-year fixed mortgage rate could stabilize around 6.7% in the third quarter of 2025, easing to about 6.6% by year-end. They believe that the economic fundamentals will help create a more favorable lending environment.
• Mortgage Bankers Association (MBA): Similar to Fannie Mae, the MBA projects a downward trend, with expectations that rates may reach 6.6% before 2025 concludes.
• Economists from Various Institutions: Analysts from diverse sectors, including the National Association of Realtors and Morgan Stanley, express similar viewpoints, suggesting a gradual decline in mortgage rates as inflationary pressures ease and the housing market stabilizes.

The Psychological Impact on Homebuyers

The fluctuating rates can significantly impact buyer psychology. The continual conversations about rising home prices and mortgage rates often create a sense of urgency or anxiety among potential buyers. Many feel strained to make purchases quickly, fearing that delaying decisions could result in skyrocketing costs.

One crucial insight from recent studies suggests that while higher mortgage rates may deter some buyers, they also often lead to increased competition. With fewer affordable homes available, potential buyers face challenges in negotiating purchasing prices, making it essential to stay informed and act strategically in the homebuying process.

Conclusion

As of June 10, 2025, mortgage rates are positioned at 6.98% for a 30-year fixed mortgage, reflecting a slight but notable decrease from previous weeks. Homebuyers and those contemplating refinancing should be aware of the current market conditions and the various factors at play.

The mortgage landscape constantly evolves, influenced by economic indicators, housing market dynamics, and investor sentiments. Sticking to reliable sources and staying informed about how these elements might affect rates will empower borrowers to make more informed financial choices moving forward.

If you're looking for the states with the lowest mortgage rates today, June 9, 2025, you've come to the right place. Right now, New York, Massachusetts, Washington, Colorado, Virginia, California, Connecticut, and North Carolina are offering some of the cheapest 30-year new purchase mortgage rates, with averages ranging from 6.83% to 6.99%. So, if you're house hunting, you might want to start your search in those states!

States With Lowest Mortgage Rates Today – June 9, 2025

Buying a home is a huge decision, and I know firsthand how stressful it can be. I remember when I bought my first place – all the paperwork, the inspections, and, of course, figuring out the mortgage. One of the biggest factors that can impact your monthly payment and overall cost is the interest rate. And those rates can vary quite a bit depending on where you live.

Why Do Mortgage Rates Vary by State?

It's not just random chance that makes mortgage rates different across state lines. Several factors contribute to these variations. Here's a breakdown:

• Lender Presence: Not all lenders operate in every part of the country. This means that certain regions might have less competition, which can drive rates up.
• Credit Score Averages: States with higher average credit scores might see lower rates because lenders view borrowers as less risky.
• Average Loan Size: Differences in property values and loan sizes can influence rates. Larger loans might come with slightly different terms.
• State-Specific Regulations: Different states have different rules and regulations regarding mortgages, which can affect lenders' costs and, ultimately, the rates they offer.
• Risk Management Strategies: Each lender has its own way of assessing and managing risk, and this can translate into variations in the rates they charge.

Mortgage rates vary by the state where they originate. Different lenders operate in different regions, and rates can be influenced by state-level variations in credit score, average loan size, and regulations. Lenders also have varying risk management strategies that influence the rates they offer.

June 9, 2025: A Snapshot of Mortgage Rates Across the US

Let's dive deeper into the data and see which states are offering the best and worst deals on 30-year mortgages right now.

The States with the Lowest Mortgage Rates:

According to Investopedia, here are the states where you'll find the most affordable 30-year new purchase mortgage rates as of today:

• New York
• Massachusetts
• Washington
• Colorado
• Virginia
• California
• Connecticut
• North Carolina

These states share average mortgage rates ranging from 6.83% to 6.99%.

The States with the Highest Mortgage Rates:

On the other end of the spectrum, these states currently have the highest 30-year mortgage rates:

• Alaska
• Mississippi
• West Virginia
• Delaware
• Kansas
• Oklahoma
• Ohio
• Wisconsin

Here, the average rates hover between 7.06% and 7.16%.

National Mortgage Rate Trends

It's helpful to keep an eye on national averages to put these state-specific rates into context:

• Today's (June 9, 2025) rate for 30-year new purchase mortgages: jumped 9 basis points to 7.02%.

Breaking it Down (National Averages):

Here is a table showing the national average rates for various types of mortgages:

Loan Type	New Purchase Rate
30-Year Fixed	7.02%
FHA 30-Year Fixed	7.13%
15-Year Fixed	6.08%
Jumbo 30-Year Fixed	6.97%
5/6 ARM	7.36%

Source: Zillow

Important Considerations

Keep in mind that these are average rates. The rate you'll actually qualify for depends on your individual financial situation:

• Credit Score: A higher credit score generally means a lower rate.
• Income: Lenders want to see that you have a stable income to repay the loan.
• Down Payment: A larger down payment can reduce your risk and potentially lower your rate.
• Debt-to-Income Ratio (DTI): This is the amount of your monthly income that goes toward paying debts. A lower DTI is preferable.
• Type of Loan: Different loan types (e.g., fixed-rate, adjustable-rate, FHA, VA) come with varying rates and terms.

Don't Fall for Teaser Rates!

You've probably seen those super-low rates advertised online. Those are often “teaser rates,” designed to grab your attention. Here's what to watch out for:

• Paying Points: Some teaser rates require you to pay points upfront, which are fees that effectively increase the cost of your loan.
• Ultra-High Credit Scores: Those rates might only be available to borrowers with near-perfect credit.
• Smaller-Than-Typical Loans: Sometimes, the advertised rate is only for smaller loan amounts.

Always shop around and compare rates from multiple lenders. Don't settle for the first offer you receive!

Understanding Factors That Shape Mortgage Rates

Mortgage rates don't just appear out of thin air. They're influenced by several factors that are constantly in play:

• Bond Market: Specifically, the 10-year Treasury yield has a big impact. When Treasury yields rise, mortgage rates tend to follow suit.
• Federal Reserve (The Fed): The Fed's monetary policy plays a crucial role. Specifically, its actions related to buying bonds and funding government-backed mortgages can significantly affect rates.
• Competition: Competition among lenders and across different loan types can also influence rates.

Trying to pinpoint one single cause for rate fluctuations is nearly impossible because multiple forces are often at work simultaneously.

A Quick History Lesson In 2021 mortgage rates were relatively low because the fed was buying billions of dollars of bonds in response to the pandemic's economic pressures. However, in November 2021 The Fed began tapering its bond purchases , making sizable monthly reductions until reaching net zero in March 2022.Between that time and July 2023, the Fed aggressively raised the federal funds rate to fight decades-high inflation which has had a dramatic upward impact on mortgage rates over the last two years.

The Fed maintained the federal funds rate at its peak level for almost 14 months, beginning in July 2023. But in September, the central bank announced a first rate cut of 0.50 percentage points, and then followed that with quarter-point reductions in November and December. For its third meeting of the new year, however, the Fed opted to hold rates steady—and it’s possible the central bank may not make another rate cut for months.

How to Calculate Your Mortgage Payment

Figuring out your potential monthly mortgage payment is essential for budgeting and determining how much you can afford. Here are the key factors involved:

• Home Price: The total cost of the property. (e.g. $440,000)
• Down Payment: The amount you pay upfront, expressed as a percentage of the home price. (e.g. 20%= $88,000)
• Loan Term: The length of time you have to repay the loan (e.g., 30 years).
• Annual Percentage Rate (APR): The interest rate you'll be charged. (e.g. 6.67%)
• Property Taxes: Annual taxes assessed on your property, typically divided into monthly payments.
• Homeowners Insurance: The cost of insuring your home against damage or loss, also usually paid monthly.

Using sample figures shown above , the monthly payment can be calculated as follows –

Your monthly mortgage payment: $2,649.04/month for 30 years

Principal & Interest: $2,264.38

Property Taxes: $256.67

Homeowners Insurance: $128.00

Mortgage Size: $352,000.00

Mortgage Interest: $463,176.16

Total Mortgage Paid: $815,176.16

Note: It's essential to use a mortgage calculator to get an accurate estimate. Many online tools (like Zillow's mortgage calculator) can help you crunch the numbers.

My Final Two Cents

Navigating the world of mortgages can be daunting, but knowledge is power. By understanding the factors that influence rates and shopping around diligently, you can find the best possible deal for your situation. Remember to factor in all the costs associated with buying a home, not just the mortgage payment itself.

And finally, don't be afraid to ask questions! Talk to multiple lenders, real estate agents, and financial advisors to get a clear picture of your options so that you can make an informed decision that works for you in the long run.