Mortgage rates remain elevated heading into mid-July, with the average 30-year fixed rate standing at 6.625% as of July 9, 2025, according to Zillow Home Loans. Buyers considering a home purchase or refinance should evaluate how rising rates affect affordability and monthly payments.
Current mortgage rates by loan type
Here’s how today’s rates break down by loan category:
- 30-Year Fixed: 6.625% rate | 6.8% APR | 1.784 points ($4,906.00)
- 30-Year VA: 6.5% rate | 6.797% APR | 1.778 points ($4,889.50)
- 20-Year Fixed: 6.5% rate | 6.756% APR | 1.993 points ($5,480.75)
- 15-Year Fixed: 5.875% rate | 6.139% APR | 1.675 points ($4,606.25)
- 7-Year ARM (adjustable): 7.375% rate (APR varies)
These rates are based on estimates and may vary depending on credit score, down payment, and loan size.
Accord Mortgages lowers select fixed rates
In separate news, Accord Mortgages has announced fresh rate cuts beginning July 10, trimming up to 0.06% off residential fixed-rate deals:
- 2-Year Fixed (75% LTV): Down to 4.01% with £1,495 fee and free standard valuation
- 5-Year Fixed (90% LTV): Now 4.55%, includes £300 cashback
- 3-Year Remortgage (80% LTV): Reduced to 4.44%, with options for free legal work or cashback
These reductions are aimed at boosting affordability and competition across the market.
What’s influencing rates this week?
Several factors are keeping mortgage rates volatile:
- Federal Reserve policy: Although no rate hike is imminent, ongoing inflation concerns keep long-term rates under pressure.
- Bond market yields: Treasury yields have trended slightly upward, contributing to a modest rise in mortgage rates.
- Credit demand: Mortgage applications have dipped slightly week-over-week, reflecting rate sensitivity among buyers.
How to get a lower mortgage rate
Buyers can potentially lower their mortgage rate by:
- Improving credit score: Higher scores often qualify for better rates.
- Increasing down payment: More equity upfront means lower lender risk.
- Reducing debt-to-income ratio: Lower overall debt boosts loan approval odds.
Should you buy or refinance now?
While current rates are higher than in recent years, they are below last fall’s peak of over 7%. Buyers with strong financial profiles may benefit from locking in a rate now—especially with lender-specific discounts and incentives like those from Accord.
Refinancing may also make sense for those with older adjustable-rate mortgages or higher fixed rates from past years.
Key takeaways
- The 30-year fixed rate remains elevated at 6.625%.
- 15-year fixed loans offer more favorable rates at 5.875%, ideal for those seeking faster payoff.
- Accord Mortgages introduces rate cuts on several residential products, creating potential savings.
- Borrowers can improve loan terms by managing credit, debt, and down payment strategies.
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