Mortgage Rates Today— Homeowners eyeing a mortgage refinance may find this week an opportune moment, as refinance rates across most loan terms have dropped significantly, tracking a broader decline in bond yields.
According to the latest data from Freddie Mac, Zillow, and the Mortgage Research Center, the average 30-year fixed refinance rate fell to 6.75%, down from 6.98% last week — a 1.36% weekly decrease. This drop aligns with a sharp 0.66% decline in the 10-year Treasury yield, a key benchmark that influences mortgage rates.
Mortgage Rates Today, 5 June 2025
| Loan Type | Interest Rate |
|---|---|
| 30-Year Fixed | 6.70% |
| 20-Year Fixed | 6.24% |
| 15-Year Fixed | 5.91% |
| 5/1 ARM | 6.67% |
| 7/1 ARM | 6.97% |
| 30-Year VA | 6.30% |
| 15-Year VA | 5.64% |
| 5/1 VA | 6.35% |
Mortgage Refinance Rates Today, 5 June 2025
| Loan Term | Rate |
|---|---|
| 30-Year Fixed | 6.75% |
| 20-Year Fixed | 6.26% |
| 15-Year Fixed | 5.98% |
| 5/1 ARM | 7.03% |
| 30-Year VA | 6.32% |
| 15-Year VA | 5.94% |
These are national averages and can vary based on lender, credit profile, and loan terms.
Why Are Refinance Rates Falling?
Experts point to recent volatility in the bond market and continued economic uncertainty. With inflation cooling and fears of a possible slowdown growing, investors have rushed into safer assets like government bonds, driving down yields.
Since mortgage rates often move in tandem with Treasury yields — particularly the 10-year note — refinance and home loan rates have followed suit.
“Mortgage rates are reacting to macroeconomic pressure, and the bond market is signaling a potential shift in monetary policy expectations,” said one market analyst. “That’s creating opportunities for borrowers.”
Should You Refinance Now?
If you’ve been waiting for a lower rate to refinance, now might be a smart time to lock in, especially with 15-year and 20-year options falling below 6% for some borrowers. However, timing the market is tricky. Rates can change daily based on economic data, Federal Reserve signals, and investor sentiment.
Homeowners considering a refinance should weigh the potential interest savings against closing costs, remaining loan term, and long-term financial goals. VA loan holders may also benefit from reduced rates, with the 15-year VA average at just 5.94%.
As of June 5, mortgage refinance rates are trending downward, offering a window of opportunity for those looking to reduce monthly payments or pay off their mortgage faster. If you’re thinking about refinancing, now’s the time to compare lenders and run the numbers.