Find out the best mortgage rates this week to see what rate you can receive.
Mortgage rates haven’t had much movement in 2025 as buyers and sellers continue to monitor the market. Data from the St. Louis Fed suggests the average mortgage rate is currently 7.06% APR for a 30-year mortgage. However, some mortgage lenders are offering lower rates for their loans, especially if you opt for a shorter term.
Bank of America Mortgage Rates
Bank of America offers a 7.15% APR on a $400,000 mortgage with a 30-year term. Getting the same balance with a 15-year fixed mortgage results in a 6.26% APR. The bank also offers a 20-year fixed mortgage with a 6.965% APR.
Barclays Mortgage Rates
Barclays offers a 4.31% APR for a 5-year fixed mortgage. You must have a minimum 60% LTV ratio to qualify for this loan. The loan must be at least £5,000 and cannot exceed £2,000,000.
The bank also offers a 5-year fixed mortgage rate of 4.32% APR for remortgages. These loans also have a £5,000 minimum requirement and cannot exceed £2,000,000.
HSBC Mortgage Rates
HSBC advertises a 6.958% APR for its 30-year fixed mortgages, but you can get a lower 6.485% APR for its 15-year mortgages.
Citibank Mortgage Rates
Citibank offers a 6.97% APR for a 30-year fixed mortgage. You can also get a 6.352% APR on a 15-year fixed mortgage. Refinancing rates are higher. A refinanced 30-year fixed mortgage has a 7.084% APR, while a 15-year fixed refinance has a 6.332% APR.
Wells Fargo Mortgage Rates
Well Fargo offers a 6.229% APR for its 15-year fixed mortgages. It also has a 7.146% APR for its 30-year mortgages. You will need an excellent credit score to qualify for these rates.
Mutual of Omaha Mortgage Rates
Mutual of Omaha borrowers with excellent credit can receive a 30-year fixed mortgage with a 6.54% APR. The rate drops to 6.072% APR for a 15-year fixed mortgage.
How to Compare Mortgage Rates
Comparing current mortgage rates is straightforward. The key details you must assess are each mortgage’s APR and the lender’s fees. You can apply for multiple mortgages and compare the rates and fees, but getting approved for multiple mortgages has another benefit.
You can present these offers to each lender so they can see what rates you are receiving. If you have a mortgage with a 6.50% APR and another mortgage with a 6.45% APR, the lender with the higher rate may reduce your APR to 6.43%. You can then present this new rate to the lender offering a 6.45% APR and see if they will lower their rate.
Each mortgage offer gives you leverage in negotiations. You can end up with lower fees and rates by having lenders compete for your money.
Homebuyers can also choose whether they want a fixed-rate or variable-rate mortgage. Fixed-rate mortgages have the same monthly payment throughout the term, while variable-rate mortgage payments fluctuate based on interest rate changes. If the Federal Reserve reduces interest rates, variable payments will decrease. However, those same payments will increase if the Fed announces another rate hike.
Fixed-rate mortgages offer more stability since you always know how much you’ll have to pay each month. Variable-rate mortgages don’t have that level of consistency, but the APR is typically lower for variable-rate loans in the beginning.
How to Get a Lower Mortgage Rate
Homeowners can do several things leading up to a home purchase to reduce their APR. These are some of the ways you can secure a lower mortgage rate:
- Make a bigger down payment: A higher down payment reduces the mortgage’s balance and can help you secure a lower APR.
- Build your credit score: Mortgage lenders give lower APRs to people with excellent credit because they are less risky than borrowers with bad credit. Homeowners can still buy houses if they know which types of mortgages to use.
- Pay off debt: Paying off financial obligations will improve your debt-to-income, an important metric lenders review during the application process.
- Grow your income: Boosting your income with a raise, career advancement or side hustle will improve your debt-to-income ratio. A higher income demonstrates you can keep up with higher monthly mortgage payments.
- Shop around: You can compare mortgage rates from various financial institutions. While you may find great rates from big banks, it’s also worth reaching out to the best online mortgage lenders to see if you can find better rates.
Housing Trends That Can Impact Mortgage Rates
Brian Rudderow, a real estate investor at HBR Colorado, shared some 2025 housing trends that can impact mortgage rates long-term.
“Home prices are expected to continue rising, but at a slower pace, with growth rates around 2-3%.”
Slower appreciation will make it easier for people to pay big down on their homes. Higher down payments will help borrowers secure lower mortgage rates. Rudderow also mentioned that “mortgage rates are predicted to decrease, improving affordability for buyers.”
However, he also believes inventory will increase in the long run. Technology shifts in 2025, plus long-term trends, can result in more attractive mortgage rates. That’s because as the housing supply goes up, mortgage rates go down, per NPR.
“More homes are expected to be available due to new constructions and the ‘silver tsunami’ effect as baby boomers downsize.”
He also mentioned technological advancements addressing the housing shortage, which should result in lower APRs in the future.
“Innovations in home construction and buying processes, such as 3D printing and virtual tours, will become more common.”
Get the Right Mortgage for Your House
Shopping around and comparing mortgages can help you find a competitive rate and term home loan. It’s worth applying for multiple mortgages since trimming a few basis points off your APR can save you thousands of dollars, depending on the mortgage’s balance. These are some of the most competitive mortgage rates and offer a good starting point in your home-buying journey.
Why You Should Trust Us
Benzinga has guided readers on their financial journeys for over 15 years and brings on experts who know real estate and finance nuances.
Additionally, I am a Certified Personal Finance Counselor (CPFC) and have been a writer for Benzinga since 2021. I have also contributed to other finance publications, such as U.S. News & World Report, Business Insider and Newsweek.
FAQ
Will we ever see a 3% mortgage rate again?
We may see 3% mortgage rates in several years. However, this rate is unlikely to return anytime soon.
What time of year are mortgage rates lowest?
Mortgage rates are usually lowest in January and February, when fewer people are looking to buy new homes.
What is the lowest mortgage rate right now?
Barclays’s 5-year mortgage has a 4.31% APR, one of the lowest rates in the industry. You can find low APR mortgages if you are willing to make a big down payment and opt for a shorter term.
About Marc Guberti
Marc Guberti is an investing writer passionate about helping people learn more about money management, investing and finance. He has more than 10 years of writing experience focused on finance and digital marketing. His work has been published in U.S. News & World Report, USA Today, InvestorPlace and other publications.