Today’s mortgage rates are offering a small but meaningful sign of relief for potential homebuyers and current homeowners alike. As of June 10, 2025, the average 30-year fixed mortgage rate has dipped to 6.98%, sliding just below the 7% threshold, according to new data from Zillow. Meanwhile, refinance rates also saw a modest decline, dropping to 7.16% for 30-year fixed loans—down from 7.25% last week.
Although the decrease is marginal, it signals growing market stability amid economic uncertainty and could be an early indicator of softer lending conditions in the coming months.
Mortgage Rates on June 10, 2025
| Loan Type | Average Rate | Change From Last Week |
|---|---|---|
| 30-Year Fixed | 6.98% | ▼ 0.01% |
| 15-Year Fixed | 6.07% | ▲ 0.01% |
| 30-Year Fixed Refinance | 7.16% | ▼ 0.09% |
| 30-Year Jumbo | 7.29% | ▲ 0.04% |
| 5-Year ARM | 7.38% | ▼ 0.24% |
Why Rates Are Slightly Falling
The small dip in rates comes as bond yields fell on Monday, driven by investor caution ahead of this week’s key inflation data releases. The yield on the 10-year U.S. Treasury bond—a primary benchmark for mortgage pricing—dropped by 0.62%, helping drive mortgage rates downward.
Experts suggest that while inflation remains a concern, a more stable pricing environment may emerge in the second half of 2025, potentially leading to a gradual decline in mortgage rates.
What It Means for Homebuyers
Today’s 6.98% average for a 30-year fixed mortgage translates to approximately $659 per month in principal and interest for every $100,000 borrowed, according to the Forbes mortgage calculator. While still high compared to pandemic-era lows, the sub-7% rate offers more predictability and long-term security than adjustable-rate mortgages (ARMs), which carry higher future risk.
For borrowers with stronger credit profiles or larger down payments, this could be a favorable time to lock in rates before further economic shifts.
Refinance Outlook: Is Now the Time?
Refinance rates for a 30-year fixed mortgage fell to 7.16%, creating opportunities for homeowners who locked in at peak rates in 2024. Refinancing could help reduce monthly payments, shorten loan terms, or extract equity.
Before making a move, financial advisors recommend comparing your existing rate with today’s rates and using a mortgage calculator to assess break-even timelines.
Mortgage Rate Forecast – What’s Next?
According to forecasts from major institutions:
- Fannie Mae expects 30-year fixed rates to settle around 6.7% by Q3 and drop to 6.6% by year-end.
- Mortgage Bankers Association (MBA) also projects a gradual decline, with continued improvement into early 2026.
- Economists from Morgan Stanley and the National Association of Realtors say inflation cooling and stable Fed policy could nudge rates lower through Q4 2025.
However, a significant rate drop is unlikely in the short term unless the economy weakens dramatically or inflation falls more sharply than expected.
Expert Tips for Today’s Mortgage Shoppers
Shop around: Compare offers from at least three lenders. Small differences in rates can save you thousands over the life of the loan.
Know your credit score: Higher credit scores unlock better rates. Aim for 700+ if possible.
Consider loan type: Fixed rates offer stability, while ARMs may start lower but adjust later—often upward.
Explore loan programs: FHA, VA, and USDA loans can offer competitive rates and lower down payment options.
While mortgage rates remain elevated compared to historical lows, today’s slight dip to 6.98% for a 30-year fixed mortgage is a reassuring signal for buyers and homeowners. As inflation data rolls out and economic conditions evolve, the housing finance market may see further stabilization in the second half of 2025.