Core Insights - Mortgage rates are currently stable, with the 30-year fixed rate at 6.03% and the 15-year fixed rate at 5.42% [1][18] - The 30-year fixed mortgage rate has remained mostly unchanged since the end of October [1] Current Mortgage Rates - The national average for various mortgage types includes: - 30-year fixed: 6.03% - 20-year fixed: 5.95% - 15-year fixed: 5.42% - 5/1 ARM: 6.03% - 7/1 ARM: 6.18% - 30-year VA: 5.46% - 15-year VA: 5.05% - 5/1 VA: 5.16% [5] Mortgage Payment Calculations - For a $300,000 mortgage at a 30-year term with a 6.03% rate, the monthly payment would be approximately $1,804, resulting in $349,599 in interest over the loan's life [8] - For the same mortgage amount at a 15-year term with a 5.42% rate, the monthly payment would increase to $2,439, with total interest paid being $138,936 [10] Adjustable Mortgage Rates - Adjustable-rate mortgages (ARMs) typically start with lower rates than fixed rates but can increase after the initial period [11] - The 5/1 ARM locks in the rate for the first five years before adjusting annually [11] - Recent trends show that ARM rates can be similar to or even higher than fixed rates, necessitating careful comparison when choosing a mortgage type [13] Factors Influencing Mortgage Rates - Lenders offer lower rates to borrowers with higher down payments, excellent credit scores, and low debt-to-income ratios [14] - Options for reducing interest rates include paying for discount points at closing or utilizing temporary interest rate buydowns [15] Future Rate Predictions - The Mortgage Bankers Association (MBA) forecasts the 30-year mortgage rate to remain around 6.4% through 2026, while Fannie Mae predicts rates above 6% next year, potentially dipping to 5.9% in Q4 2026 [20]
Mortgage and refinance interest rates today, December 22, 2025: Stability makes rates easy to shop for