Mortgage rates today are showing signs of easing, giving potential homebuyers and refinancers a reason to re-run the numbers.
According to the latest data released by Zillow on May 18, 2025, the average 30-year fixed mortgage rate dipped to 6.77%, down 8 basis points from last week. The 15-year fixed rate also dropped to 6.03%, a 10 basis point decline.
These rate movements, while modest, could mean savings for borrowers — especially those planning to buy or refinance in the next few weeks.
Today’s Mortgage Rates – May 18, 2025
| Mortgage Type | Average Rate Today |
|---|---|
| 30-Year Fixed | 6.77% |
| 20-Year Fixed | 6.25% |
| 15-Year Fixed | 6.03% |
| 7/1 Adjustable ARM | 7.40% |
| 5/1 Adjustable ARM | 7.08% |
| 30-Year FHA | 5.95% |
| 30-Year VA | 6.31% |
Refinance Rates Also See Small Declines
Refinancing rates are following a similar pattern, with some rate types rising slightly while others remain relatively flat. Here’s where refinance mortgage rates stand today:
| Refinance Mortgage Type | Average Rate Today |
|---|---|
| 30-Year Fixed Refinance | 6.97% |
| 20-Year Fixed Refinance | 6.64% |
| 15-Year Fixed Refinance | 6.25% |
| 5/1 ARM Refinance | 7.56% |
| 7/1 ARM Refinance | 7.51% |
| 30-Year VA Refinance | 6.47% |
| 15-Year VA Refinance | 6.17% |
What’s Causing Rate Movement?
Mortgage rate volatility continues as investors weigh economic indicators like inflation, labor data, and the impact of ongoing tariff negotiations. While there’s limited concrete data so far on how new tariffs might affect the U.S. economy, upcoming reports could drive rates sharply higher or lower.
- If labor market data weakens, rates may decline further as recession fears grow.
- If inflation persists, rates may rise as the Federal Reserve takes action to cool the economy.
Right now, mortgage experts recommend locking in a rate if you’re comfortable with today’s levels — or shopping around to find a better offer.
Should You Lock in Today’s Mortgage Rates?
With the 30-year fixed rate hovering below 6.80%, locking in your rate now might offer peace of mind — especially if you expect economic uncertainty to continue.
Refinancers, in particular, should compare current offers and run the numbers. A good rule of thumb: If you can drop your rate by at least 1 percentage point and recover your closing costs within 12 to 24 months, refinancing may make sense.
You can calculate your break-even point by dividing estimated closing costs by your projected monthly savings. For example, a $3,000 refinance cost with $200 monthly savings would take 15 months to break even.
Tips to Secure the Lowest Mortgage Rate
Even in a rising-rate environment, borrowers can take smart steps to find better deals:
- Get preapproved by 3-4 mortgage lenders to compare quotes.
- Consider discount points to buy down your interest rate.
- Improve your credit score and debt-to-income ratio before applying.
- Shorter loan terms like 15 years often come with lower rates.
- FHA and VA loans typically offer lower rates to eligible borrowers.
Today’s mortgage rates are offering a modest window of opportunity for buyers and homeowners considering refinancing. While rates are still elevated compared to historic lows, today’s dips could mean real monthly savings — if you act strategically.
With rate forecasts remaining uncertain, staying informed and comparing offers is more important than ever.