30-Year Mortgage Rates Hold Near Three-Month Low Amid Economic Uncertainty

Mortgage rates in mid-July 2025 show a slight decline and relative stability after significant fluctuations earlier in the year. The average 30-year fixed mortgage rate stands around 6.84% to 6.86%, down modestly from recent peaks above 7%, while 15-year rates hover near 5.88% to 5.92%. Despite these decreases, refinance activity remains low because rates are still considered elevated, with experts noting that rates would need to fall below 6% to spur significant refinancing. Influences on mortgage rates include Federal Reserve monetary policy, bond market yields, inflation expectations, and lender competition, with the Fed expected to resume rate cuts later in 2025 potentially easing borrowing costs. In contrast, India’s home loan rates have fallen due to the Reserve Bank of India’s repo rate cuts and controlled inflation, illustrating regional differences in mortgage market conditions. Consumers are advised to shop around and compare rates regularly to secure the best mortgage or refinance terms amid ongoing economic uncertainty.