Mortgage Rates Fall Across US to Lowest Levels Since October

Mortgage rates in the U.S. have shown a recent decline, providing some relief for homebuyers and those looking to refinance. As of early September 2025, the average 30-year fixed mortgage rate is reported between 6.125% and 6.46%, with refinance rates also decreasing, reflecting market expectations of an imminent Federal Reserve interest rate cut amid a cooling labor market and inflation concerns. Experts caution that while rates have dipped, they are likely to remain above 6% through 2025, with potential further decreases in 2026. The number of mortgage products available for borrowers with low down payments has surged to levels not seen since 2008, increasing options for buyers with deposits of 10% or less, although affordability remains a significant challenge. Borrowers are advised to improve credit scores, reduce debt-to-income ratios, and shop around for the best rates, as the best mortgage terms are still tied to financial profiles and market conditions. Overall, the mortgage market reflects cautious optimism but continues to grapple with economic uncertainties and the impact of federal policies.