Mortgage rates remain elevated as of Tuesday, July 15, 2025, with the 30-year fixed average holding at 6.625%, according to Zillow. Today’s rates suggest ongoing affordability pressures for buyers, despite hopes for broader relief following past Fed actions.
Current mortgage rates as of July 15, 2025
Here’s how rates break down by loan type:
- 30-Year Fixed: 6.625% (APR: 6.778%)
- 15-Year Fixed: 5.75% (APR: 6.062%)
- 30-Year FHA: 6.375% (APR: 7.046%)
- 30-Year VA: 6.500% (APR: 6.784%)
- 20-Year Fixed: 6.500% (APR: 6.739%)
- 7-Year ARM: 7.375% (adjustable)
These figures reflect national averages and include typical points and fees. Individual rates may vary based on credit profile, location, and loan type.
Refinance rates remain high
For homeowners considering a refinance, rates continue to hover near recent highs:
- 30-Year Refi (Conventional): 6.86%
- 15-Year Refi (Conventional): 5.91%
- 30-Year Jumbo Refi: 7.34%
- 30-Year FHA Refi: 6.25%
- 30-Year VA Refi: 6.39%
Despite marginal improvements earlier in the year, refinance activity has slowed as most homeowners still hold sub-6% loans.
What’s influencing mortgage rates?
Several market forces continue to impact today’s mortgage rates:
- Federal Reserve policy: Despite past rate cuts, mortgage lenders remain cautious due to inflation concerns.
- Supply and demand: Inventory is up 29% year-over-year, but demand remains constrained by affordability issues.
- Home price trends: Prices are softening in the South and West, but holding in the Northeast and Midwest.
How to qualify for the best mortgage rate
To get the lowest rate available, borrowers should:
- Boost credit scores: Aim for 740+ to qualify for top-tier rates.
- Make a larger down payment: Reduces lender risk and often yields better pricing.
- Lower your debt-to-income ratio: Less existing debt = better terms.
- Shop around: Compare quotes across lenders, including Zillow’s BuyAbility tool.
- Consider loan types: Fixed vs. ARM, FHA vs. conventional—each has pros and cons depending on your financial situation.
Should you buy or refinance now?
With mortgage rates near 6.6%, buyers must weigh urgency against affordability. Those locked into lower pandemic-era rates are unlikely to refinance unless they’re pursuing cash-out options or switching loan types. Still, some scenarios make refinancing worthwhile:
- You can reduce your rate by at least 1%.
- You want to access home equity.
- You plan to switch from an FHA loan to a conventional loan.
- You’re moving from an ARM to a fixed-rate mortgage.
What happens next?
Barring a major shift in economic data or Fed policy, mortgage rates may remain range-bound through Q3. Continued inflation moderation could eventually open the door to rate relief by late 2025.
More from FingerLakes1.com
This content is brought to you by the FingerLakes1.com Team. Support our mission by visiting www.patreon.com/fl1 or learn how you send us your local content here.