Current Mortgage Refinance Rates: July 3, 2025

Forbes

03-07-2025

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The rate on a 30-year fixed refinance rose to 6.66% today, according to the Mortgage Research Center. Rates averaged 5.58% for a 15-year financed mortgage and 6.42% for a 20-year financed mortgage.
Related: Compare Current Refinance Rates
Currently, the average rate for a 30-year, fixed-rate mortgage refinance is 6.66%, down 1.08% from this time last week. Borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $643 per month for principal and interest at the current interest rate, according to the Forbes Advisor mortgage calculator , not including taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $132,061.
Another way of looking at loan costs is the annual percentage rate, or APR . For a 30-year, fixed-rate mortgage, the APR is 6.69%, lower than last week's 6.76%. The APR is essentially the all-in cost of the home loan.
The 20-year fixed mortgage refinance average rate stands at 6.42%, versus 6.51% last week.
The APR, or annual percentage rate, on a 20-year fixed mortgage is 6.45%. It was 6.55% last week.
At the current interest rate, a 20-year, fixed-rate mortgage refinance of $100,000 would cost $741 per month in principal and interest. That doesn't include taxes and fees. That borrower would pay roughly $78,274 in total interest over the life of the loan.
The average interest rate on the 15-year fixed refinance mortgage is 5.58%. The same time last week, the 15-year fixed-rate mortgage was at 5.65%.
The annual percentage rate on a 15-year fixed is 5.62%. Last week, it was 5.7%.
At the current interest rate, you would pay $821 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you would pay $48,233 in total interest.
The average interest rate on the 30-year fixed-rate jumbo mortgage refinance (a loan above the federal conforming loan limit of $806,500 in most places) fell week-over-week to 6.98%. A week ago, the average rate was 7.03%.
Borrowers with a 30-year fixed-rate jumbo mortgage refinance with today's interest rate will pay $664 per month in principal and interest per $100,000 borrowed.
A 15-year, fixed-rate jumbo mortgage refinance is 6.31% on average, about the same as last week.
At today's interest rate, a borrower with a 15-year, fixed-rate jumbo refinance would pay $861 per month in principal and interest per $100,000 borrowed. Over the life of the loan, that borrower would pay around $55,171 in total interest.
Mortgage lenders charge different interest rates for purchase and refinance loans. Current refinance rates are typically 0.01% to 0.15% higher for a 30-year fixed rate versus a purchase loan.
You can reduce your interest rate by paying your closing costs up front instead of rolling them into the loan with a no-closing-cost refinance loan . Buying discount points and avoiding mortgage insurance can also help.
When considering a mortgage refinance, compare your current interest rate, mortgage balance and loan term with the new interest rate and term. This comparison helps you estimate your new monthly payment and savings, making it easier to determine if refinancing is the right choice.
You may want to refinance your home when you can lower your interest rate, reduce monthly payments or pay off your mortgage sooner. You may want to use a cash-out finance to access your home's equity or take out a new loan to eliminate private mortgage insurance (PMI).
A home loan refinance may make sense particularly if you plan to remain in your home for a while. Even if you score a lower interest rate, you need to take the loan costs into consideration. Calculate the break-even point where your savings from a lower interest rate exceed your closing costs by dividing your closing costs by the monthly savings from your new payment.
Our mortgage refinance calculator could help you determine if refinancing is right for you.
Refinancing a mortgage isn't that different than taking out a mortgage in the first place, and it's always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate: Polish up your credit score
Lower your debt-to-income ratio
Keep an eye on mortgage rates
Consider a shorter loan
Having a strong credit score is one of the best things you can do to get approved and get a lower rate. You're also likely to look better to mortgage refinance lenders if you don't have too much debt relative to your income. You should keep a regular watch on mortgage rates , which fluctuate often. Also see if you can manage a mortgage payment for a shorter loan term since they usually have lower interest rates.
Since the final quarter of 2024, national average mortgage rates have remained in the middle-to-high 6% range, and experts expect this trend to continue through the first half of 2025.
If inflation slows and unemployment levels hold steady or rise, the Federal Reserve may reduce the federal funds rate, potentially leading to lower mortgage rates in the second half of the year. However, if inflation stays high and unemployment decreases, rates are likely to remain stable.
Since mortgage rates are expected to change little in the first half of the year, those looking to refinance at a lower rate should consider waiting until later in the year. In the meantime, improving your credit score and paying down your loan balance will help you secure the lowest possible rate when you're ready to explore refinancing options. Frequently Asked Questions (FAQs)
Most lenders allow you to refinance a mortgage six months after you start paying it off, although some require that you wait 12 months. Contact your lender to be sure.
You can usually refinance a mortgage in as quickly as 45 to 60 days, but it depends on many factors – like the type of home loan you choose. Always check with your lender before committing to borrow.
Our guide to the best mortgage refinance lenders is a good starting point, but make sure you compare multiple lenders and get more than one quote. It's always a good idea to find out the closing costs lenders charge, and also to make sure you can communicate easily with your lender. Conditions in the housing market change frequently, so being able to depend on your lender is crucial.