Mortgage rates have been fluctuating over the past month, but all the changes have been small. This week, interest rates have finally made a more noticeable dip. According to Freddie Mac, the 30-year fixed mortgage rate dropped by eight basis points this week to their lowest point in a year. Lower rates may leave you wondering: Is it a good time to buy a house?
Are mortgage rates dropping?
As of Oct. 23, Freddie Mac reported that the average 30-year fixed-rate mortgage rate had fallen by eight basis points to 6.19%. The 30-year rate is now 35 basis points lower than it was this time last year. In late October 2024, mortgage rates averaged 6.54%.
This week’s 15-year fixed mortgage rate is also down eight basis points, hitting 5.44%. It is 27 basis points lower than this time last year.
In situations like these, it pays to look at the numbers. Here’s the Freddie Mac data on mortgage rates for the past 52 weeks as of Oct. 23, 2025:
- 30-year fixed-rate mortgage: 6.19% to 7.04%
- 15-year fixed-rate mortgage: 5.41% to 6.27%
Rates on 30-year and 15-year fixed-rate mortgages are at or near their annual lows.
So, yes, mortgage rates are dropping when you look at the larger picture. We’re still 19 points away from 30-year rates falling to 6%, but there’s no guarantee that mortgage rates will hit 6% in the near future. Waiting for rates to hit that magical number before you buy probably isn’t worth it.
E. Napoletano | Yahoo Finance