Mortgage Rates Steadily Moving Down

Mortgage rates continue their slow downward trend, suggesting a stable environment heading into the spring buying season.

Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.85%, down from the week prior’s 6.87%. This is its lowest level so far in 2025.

A year ago at this time, the 30-year fixed-rate mortgage averaged 6.90%.

Fifteen-year rates turned around after increasing the week prior, falling to 6.04% from 6.09%. A year ago at this time, they were at 6.29%.

“Mortgage rates decreased slightly this week,” said Sam Khater, Freddie Mac’s Chief Economist. 

“The 30-year fixed-rate mortgage has stayed just under 7% for five consecutive weeks and in that time has fluctuated less than 20 basis points. This stability continues to bode well for potential buyers and sellers as we approach the spring homebuying season.”

But buyers have yet to return full force to the market. There are five months of for-sale supply on the market, up from 4.4 months at the same time last year and the most stock available since 2019, buyers aren’t picking up this extra stock. While new listings are up 7.4% YOY, pending sales are down 6%.

The typical home took 57 days to sell, the longest since March 2020, when the pandemic’s onset forced the market to shutter.

High home prices and mortgage rates are keeping many potential buyers locked out of the market.

But demand is picking up as mortgage rates have moderated in the last few weeks. Though refinances are still the star of the show, some buyers want to snap up a new home while borrowing costs are at their lowest point so far in 2025.