Mortgage and refinance interest rates today, July 12, 2025: The 30-year fixed rate holds steady
When mortgage rates are flat, it can be a good time to lock in an interest rate with a mortgage lender — but choose one with a rate buydown option. This way, you lock in a rate now so you don't risk getting stuck with a higher rate in a few weeks. But if the lender has a buydown program, you can re-lock your interest rate if market rates decrease before you buy the house.
Read more: Looking for a lender with a rate buydown program? Check out Yahoo Finance's Pennymac mortgage review or TD Bank mortgage review.
Here are the current mortgage rates, according to the latest Zillow data:
30-year fixed: 6.63%
20-year fixed: 6.22%
15-year fixed: 5.89%
5/1 ARM: 7.57%
7/1 ARM: 7.21%
30-year VA: 6.20%
15-year VA: 5.57%
5/1 VA: 6.51%
Remember, these are the national averages and rounded to the nearest hundredth.
Learn more: 8 strategies for getting the lowest mortgage rates
These are today's mortgage refinance rates, according to the latest Zillow data:
30-year fixed: 6.68%
20-year fixed: 6.30%
15-year fixed: 6.06%
5/1 ARM: 7.59%
7/1 ARM: 7.12%
30-year VA: 6.33%
15-year VA: 6.06%
5/1 VA: 6.41%
Again, the numbers provided are national averages rounded to the nearest hundredth. Mortgage refinance rates are often higher than rates when you buy a house, although that's not always the case.
Use the mortgage calculator below to see how today's interest rates would affect your monthly mortgage payments.
For a deeper dive, you can use Yahoo's free mortgage calculator to see how homeowners insurance and property taxes factor into in your monthly payment estimate. You even have the option to enter costs for private mortgage insurance (PMI) and homeowners' association dues if those apply to you. These details result in a more accurate monthly payment estimate than if you simply calculated your mortgage principal and interest.
There are two main advantages to a 30-year fixed mortgage: Your payments are lower, and your monthly payments are predictable.
A 30-year fixed-rate mortgage has relatively low monthly payments because you're spreading your repayment out over a longer period of time than with, say, a 15-year mortgage. Your payments are predictable because, unlike with an adjustable-rate mortgage (ARM), your rate isn't going to change from year to year. Most years, the only things that might affect your monthly payment are any changes to your homeowners insurance or property taxes.
The main disadvantage to 30-year fixed mortgage rates is mortgage interest — both in the short and long term.
A 30-year fixed term comes with a higher rate than a shorter fixed term, and it's higher than the intro rate to a 30-year ARM. The higher your rate, the higher your monthly payment. You'll also pay much more in interest over the life of your loan due to both the higher rate and the longer term.
The pros and cons of 15-year fixed mortgage rates are basically swapped from the 30-year rates. Yes, your monthly payments will still be predictable, but another advantage is that shorter terms come with lower interest rates. Not to mention, you'll pay off your mortgage 15 years sooner. So you'll save potentially hundreds of thousands of dollars in interest over the course of your loan.
However, because you're paying off the same amount in half the time, your monthly payments will be higher than if you choose a 30-year term.
Dig deeper: 15-year vs. 30-year mortgages
Adjustable-rate mortgages lock in your rate for a predetermined amount of time, then change it periodically. For example, with a 5/1 ARM, your rate stays the same for the first five years and then goes up or down once per year for the remaining 25 years.
The main advantage is that the introductory rate is usually lower than what you'll get with a 30-year fixed rate, so your monthly payments will be lower. (Current average rates don't necessarily reflect this, though — in some cases, fixed rates are actually lower. Talk to your lender before deciding between a fixed or adjustable rate.)
With an ARM, you have no idea what mortgage rates will be like once the intro-rate period ends, so you risk your rate increasing later. This could ultimately end up costing more, and your monthly payments are unpredictable from year to year.
But if you plan to move before the intro-rate period is over, you could reap the benefits of a low rate without risking a rate increase down the road.
Learn more: Adjustable-rate vs. fixed-rate mortgage
First of all, now is a relatively good time to buy a house compared to a couple of years ago. Home prices aren't spiking like they were during the height of the COVID-19 pandemic. So, if you want or need to buy a house soon, you should feel pretty good about the current housing market.
However, mortgage rates are staying relatively high due to the political and economic climate. Experts don't think rates will plummet in 2025, so you might not want to base your decision on whether to buy strictly on interest rates. Recent news that home price gains are slowing, with predictions that house values may actually ease lower this year, can be part of your home buying decision.
The best time to buy is typically whenever it makes sense for your stage of life. Trying to time the real estate market can be as futile as timing the stock market — buy when it's the right time for you.
Read more: Which is more important, your home price or mortgage rate?
According to Zillow, the national average 30-year mortgage rate is 6.63% right now. But keep in mind that mortgage rates vary by state and even ZIP codes. For example, if you're buying in a city with a high cost of living, rates could be higher.
Overall, mortgage rates are expected to lower slightly in 2025. Rates may inch up or down from day to day, but there shouldn't be a huge shift in the near future.
No, mortgage rates have been fairly steady over the last week. Today's 30-year fixed mortgage rate hasn't moved at all.
In many ways, securing a low mortgage refinance rate is similar to when you bought your home. Try to improve your credit score and lower your debt-to-income ratio (DTI). Refinancing into a shorter term will also land you a lower rate, though your monthly mortgage payments will be higher.
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