Compare Current Mortgage Rates Today

Find the best mortgage rates for your home loan

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
Privacy Secured  |  Advertising Disclosures
Written by Rene Bermudez | Edited by Crissinda Ponder | Updated December 7, 2023

Current 30 year-fixed mortgage rates are averaging 7.35%

The average rate for a 15-year fixed mortgage is 6.63%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.

loading image

Mortgage rates forecast: Are home loan rates going to drop?

The current mortgage rates forecast indicates that rates are likely to remain high compared to recent years but could begin to trend downward if inflation begins to soften as we enter 2024. Rates fell again this week, a promising sign for the upcoming home buying season. Here are the U.S. weekly average rates from Freddie Mac’s Primary Mortgage Market Survey, as of December 7, 2023:

  • 30-year fixed-rate mortgage: 7.03%
  • 15-year fixed-rate mortgage: 6.29%

Mortgage rates remained largely in the 6% range this year until late August, when they crossed the 7% threshold for the first time since November of last year. As we continue to face inflation, rate hikes from the Federal Reserve remain a looming possibility. However, it’s important to note that even if the Fed increases the federal funds rate, it’s not a given that mortgage rates will follow. In addition, Federal Reserve Chairman Jerome Powell predicted in late June that housing inflation could come down over the next 12 to 24 months.

As a result, it seems reasonable to expect that homeowners stuck with 7% rates or higher will have a decent chance of refinancing to a lower rate in 2024.

How are mortgage rates determined?

There are nine primary factors that determine your mortgage rate:

  1. Your credit score. The higher your score, the lower your interest rate.
  2. Your down payment amount. Lenders may offer lower rates with a higher down payment.
  3. Your loan amount. You may get a better mortgage rate for a higher loan amount.
  4. Your loan program. Interest rates on Federal Housing Administration (FHA) loans and the U.S. Department of Veterans Affairs (VA) loans tend to be lower than conventional loan rates.
  5. Your loan term. Shorter terms usually equal lower interest rates.
  6. Your location. Interest rates vary based on where you live.
  7. Your occupancy. You’ll get the best interest rates financing a home you plan to live in as your primary residence.
  8. Your property type. Lenders offer the most favorable mortgage rates for single-family homes. You’ll pay a higher interest rate for a mortgage on a condo, manufactured home or multifamily home.
  9. Economic factors. Inflation, the Federal Reserve’s monetary policy and U.S. Treasury bond yields can influence whether mortgage rates go up or down.

Compare Customized Offers Now

How to get the lowest mortgage rates

There are seven options you can use to get the lowest mortgage interest rates:

  1. Boost your credit score to 780 or higher. Previously, you needed at least a 740 credit score to qualify for the lowest conventional loan interest rates, but these days you’ll need to aim even higher — to at least 780. Here’s how to improve your credit score.
  2. Make a bigger down payment or borrow less equity. You’ll snag the best possible interest rate on a conventional loan if you have a 780 credit score and make at least a 25% down payment. Plus, with a lower loan-to-value (LTV) ratio, which measures how much of your home’s value you need to borrow, you’ll see more competitive rate offers.
  3. Reduce your total monthly debt load. Lenders measure your debt-to-income (DTI) ratio by dividing your total monthly debt, including your mortgage payment, by your before-tax income. Lenders prefer a maximum 43% DTI ratio, so you can use a debt consolidation calculator to estimate how much you might be able to lower your monthly payments using a debt consolidation loan.
  4. Consider an adjustable-rate mortgage (ARM). If you plan to move in a few years, an ARM loan features a lower initial rate for a set time period. If you can sell the home before that initial rate expires, you could save a lot of money in interest compared with what you would’ve spent on a fixed-rate loan.
    Interested in an ARM loan? See current ARM rates.
  5. Pick a shorter loan term. Lenders typically charge lower rates for shorter terms like 15-year loans, an alternative to a 30-year mortgage. If you can afford the higher monthly payment, you’ll save thousands of dollars over the life of the loan, according to a LendingTree study. Running different scenarios through a mortgage calculator can help you understand exactly how much you might save.
  6. Pay mortgage points. A mortgage point is an upfront fee equal to 1% of your total loan amount. Paying for points is one way you can buy yourself a lower interest rate. For example, if you’re borrowing $300,000, one point would cost you $3,000. Each mortgage point can usually lower your rate by 0.125% to 0.25%. However, to get the exact cost of your mortgage point, you’ll need to check Page 2, Section A of the loan estimate you received from your lender.
  7. Compare mortgage lenders. The main reason to compare offers from several lenders is to save money — and we’re not just talking about a few dollars. A LendingTree study found that homebuyers in the nation’s largest metro areas saved an average of $63,151 over the lifetime of their loans by comparing offers from different lenders.

If you skip the crucial step of shopping around, you miss out on the opportunity to:

  • Learn about special deals lenders may be offering on specific loan programs.
  • Use the knowledge you gain to negotiate for a better mortgage rate. You can use your offers as leverage and ask each lender about matching your lowest-quoted rate.

If you’re struggling with where to start the process, check out our list of the best mortgage lenders below.

Our picks for the best mortgage lenders

LenderLendingTree rating and “best of” categoryLender review

Best for refinance loans
Read our review

Best for VA loans
Read our review
ally bank logo
Best for jumbo loans
Read our review

Best online mortgage experience
Read our review

Best for FHA loans
Read our review

Best for home equity loans
Read our review

Best overall mortgage loan variety
Read our review
  Learn more about how we chose our best mortgage lenders.

How to choose the best mortgage lender for you

They key to choosing a mortgage lender is to comparison shop. That means getting quotes from at least three to five lenders. It may sound like a hassle but it could save you tens of thousands of dollars, according to a recent LendingTree study.

Just be sure to shop for those quotes on the same day, since mortgage rates change on a daily basis. And don’t forget to look at the APR — this will show you the true cost of a given loan, including interest and fees.

loading image

Frequently asked questions

A mortgage rate shows you the amount of money you’ll have to pay as a fee for borrowing funds to purchase a home, and is typically expressed as a percentage of the total amount you’ve borrowed.

Be careful not to confuse interest rates and annual percentage rates (APR) — both are expressed as a percentage, but they’re very different. A typical interest rate accounts only for the fees you’re paying a lender for borrowing money. An APR, on the other hand, captures a broader view of the costs you’ll pay to take out a loan, including the interest rate plus closing costs and fees.

Still confused? Read our guide to better understand an APR versus interest rate.

Once you’ve selected your lender, you should ask your loan officer what options you have to lock in a rate. Mortgage rate locks usually last between 30 and 60 days and exist to give you a guarantee that the rate your lender offered you will still be available when you actually close on the loan. If your loan doesn’t close before your rate lock expires, you should expect to pay a rate lock extension fee.

You’ll need to apply for mortgage preapproval to find out how much you could qualify for. Lenders use the preapproval process to review your overall financial picture — including your assets, credit history, debt and income — and calculate how much they’d be willing to lend you for a mortgage.

Use the loan amount printed on your preapproval letter as a guide for your house hunting journey, but avoid borrowing the maximum. Our mortgage calculator can help you determine whether your mortgage payment leaves enough room in your budget to comfortably cover your other monthly bills.

The best type of mortgage loan will depend on your financial goals — while some loan types consistently offer lower rates, they may do so at the expense of higher monthly payments or complicated repayment terms. Weigh the pros and cons of a 15- versus 30-year loan and take time to understand ARM rates and how they differ from traditional fixed mortgage rates before signing on the dotted line.

If you’re considering an FHA loan because its interest rate is lower than a conventional loan rate, make sure you understand why you need to look at annual percentage rates (APRs), not just interest rates, when comparing FHA and conventional loans.

A teaser rate is a temporarily low interest rate offered on a loan product. It may be called an initial rate, introductory rate or discount rate, according to the Consumer Financial Protection Bureau. In the mortgage world, teaser rates are most commonly associated with adjustable-rate mortgages. The teaser rate period may last three, five seven or 10 years, but once it expires it typically adjusts annually.

Many home equity line of credit (HELOC) lenders offer teaser rates to their customers. Check the fine print for qualification requirements, and make sure you can afford the payment once the teaser rate period ends. You can also refinance a teaser rate loan to a fixed-rate loan in the future, if you qualify.

About the author: Rene Bermudez

Staff Writer, Mortgages

Expertise: Mortgages, personal finance
Education: Reed College

Rene Bermudez is a staff writer at LendingTree, where she covers mortgages and personal finance.

Before joining LendingTree, she worked as an independent writer, editor and researcher. Her experience includes investigative work with The Nation Institute, work in the life sciences with Language Scientific, collaborations around digital rights and cultures with Prof. Ramesh Srinivasan of UCLA’s Department of Information Studies and e-commerce coverage for Verifone.