30-year fixed refinance mortgage rates didn’t move at 6.89% today, according to the Mortgage Research Center. Rates averaged 5.84% for a 15-year financed mortgage and 6.73% for a 20-year financed mortgage.
Related: Compare Current Refinance Rates
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30-Year Refinance Rates Drop 0.23%
The average rate for a 30-year fixed-rate mortgage refinance is 6.89%, down 0.23% from a week ago.
On a 30-year fixed mortgage refi, the APR (annual percentage rate) is 6.92%, lower than last week’s 6.94%. APR, or annual percentage rate, includes a loan’s interest rate and a loan’s finance charges. It’s the all-in cost of your loan.
At today’s interest rate of 6.89%, borrowers with a 30-year fixed-rate refinance mortgage of $100,000 will pay $658 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. In total interest, you’d pay $137,626 over the life of the loan.
20-Year Refinance Rates Drop 0.66%
For a 20-year fixed refinance mortgage, the average interest rate is currently 6.73%, compared to 6.78% last week.
The APR, or annual percentage rate, on a 20-year fixed mortgage is 6.77%. It was 6.81% last week.
At today’s interest rate, a 20-year, fixed-rate mortgage refinance of $100,000 would cost $759 per month in principal and interest – not including taxes and fees. That would equal about $82,744 in total interest over the life of the loan.
15-Year Mortgage Refinance Rates Drop 0.02%
The average interest rate on the 15-year fixed refinance mortgage is 5.84%, unchanged from the prior week.
On a 15-year fixed refinance, the annual percentage rate is 5.89%. It was about the same last week.
At today’s interest rate, a 15-year fixed-rate mortgage would cost approximately $835 per month in principal and interest per $100,000 borrowed. You would pay around $50,798 in total interest over the life of the loan.
30-Year Jumbo Refinance Rates Drop 4.90%
The average interest rate on the 30-year fixed-rate jumbo mortgage refinance (a loan above the federal conforming loan limit of $806,500 in most places) decreased week-over-week to 7.23%. Last week, the average rate was 7.61%.
Borrowers with a 30-year fixed-rate jumbo mortgage refinance with today’s interest rate will pay $681 per month in principal and interest per $100,000 borrowed.
15-Year Jumbo Refi Rates Climb 1.40%
A 15-year, fixed-rate jumbo mortgage refinance has an average interest rate of 6.37%, up 1.40% from last week.
At today’s rate, a borrower would pay $864 per month in principal and interest per $100,000 borrowed for a 15-year, fixed-rate jumbo refi. Over the life of the loan, that borrower would pay around $55,733 in total interest.
Are Refinance Rates and Mortgage Rates the Same?
Mortgage lenders charge different interest rates for purchase and refinance loans. Current refinance rates are typically 0.01% to 0.15% higher for a 30-year fixed rate versus a purchase loan.
You can reduce your interest rate by paying your closing costs up front instead of rolling them into the loan with a no-closing-cost refinance loan. Buying discount points and avoiding mortgage insurance can also help.
When considering a mortgage refinance, compare your current interest rate, mortgage balance and loan term with the new interest rate and term. This comparison helps you estimate your new monthly payment and savings, making it easier to determine if refinancing is the right choice.
When You Should Refinance Your Home
There are lots of good reasons to refinance your mortgage, but for most homeowners, it comes down to lowering the interest rate, reducing monthly payments or paying off the loan more quickly. Refinancing can also allow you to tap some of your home’s equity or eliminate private mortgage insurance (PMI).
It’s important to keep in mind that refinancing carries costs, and for that reason makes more sense if you plan to stay in your home for some time. It can be helpful to calculate the “break-even point” for a potential refinance – to see how long it will take for savings from the new mortgage to outweigh closing costs. Try to find out what those fees will be and divide them by the monthly savings from the new mortgage.
Check out our mortgage refinance calculator to help you decide if this is a good time to refinance.
How To Get Today’s Best Refinance Rates
Refinancing a mortgage isn’t that different than taking out a mortgage in the first place, and it’s always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate:
- Polish up your credit score
- Lower your debt-to-income ratio
- Keep an eye on mortgage rates
- Consider a shorter loan
Having a strong credit score is one of the best things you can do to get approved and get a lower rate. You’re also likely to look better to mortgage refinance lenders if you don’t have too much debt relative to your income. You should keep a regular watch on mortgage rates, which fluctuate often. Also see if you can manage a mortgage payment for a shorter loan term since they usually have lower interest rates.
Trends in Refinance Rates for 2025
National average mortgage rates have remained in the middle-to-high 6% range since the final quarter of 2024, and experts expect this trend to continue throughout the first half of 2025.
Although forecasting mortgage interest rates is challenging, economic indicators like inflation and unemployment rates can provide insights into the direction of the housing market. For example, if inflation slows and national unemployment levels remain stable or rise, the Federal Reserve may cut the federal funds rate, which could lead to lower mortgage rates. On the other hand, if inflation stays high and unemployment decreases, rates are likely to remain steady.
Since mortgage rates are expected to experience minimal movement in the first half of the year, those looking to refinance at a lower rate should consider waiting until later in the year. In the meantime, improving your credit score and making on-time payments will allow you to secure the best possible rate when you begin shopping for refinance offers.
Frequently Asked Questions (FAQs)
Are interest rates higher for refinancing?
Refinance interest rates can be higher or lower than your original loan rate. Your credit score, income, repayment history, and current national interest rates will determine whether you qualify for a lower rate. These factors may also lead a lender to offer you a higher rate.
Additionally, lenders may offer a higher rate if you plan to access your home equity. This increases your loan amount and, consequently, the lender’s risk.
Can you refinance a 30-year fixed mortgage?
Yes, you can refinance a 30-year fixed mortgage. Refinancing can help you lower your interest rate, reduce your monthly payments and save you money in the long run.
Refinancing also allows you to change your loan term. You can switch to another 30-year mortgage or choose a shorter term, like a 15-year mortgage.
How much equity do you need to refinance?
The amount of equity you need to qualify for refinancing depends on the lender, but most recommend having at least 20% equity, or a loan-to-value ratio of 80% or lower.
If you have less than 20% equity, you may still qualify for refinancing, but you could face higher interest rates or be required to pay additional fees, such as PMI.
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