Mortgage rates in the U.S. ticked higher today, reflecting ongoing volatility in global markets and persistent economic uncertainty. As of June 14, 2025, the national average for a 30-year fixed mortgage stands at 6.95%, while the 15-year fixed mortgage rate is at 6.16%.
These increases, though modest, are part of a broader trend fueled by international events and cautious investor sentiment.
Why Are Mortgage Rates Rising?
Recent global tensions, notably the Israeli airstrikes on Iran, have rippled through financial markets. Investors have shifted focus to safer assets like oil and gold, causing bond yields to climb and pushing mortgage rates up.
The yield on the 10-year Treasury note—a key benchmark for mortgage pricing—surged by over 1.5% as bond prices dropped. This movement directly impacts borrowing costs for homebuyers, making mortgages more expensive than earlier this year.
The Federal Reserve’s current stance is another factor. Despite calls from the White House for rate cuts to stimulate growth, the Fed remains cautious. Inflation, while easing, is still above the central bank’s 2% target, and labor market data shows steady but not spectacular job growth.
Until there’s a clear signal that inflation is under control, the Fed is unlikely to make aggressive moves that would bring mortgage rates down significantly.
Current Mortgage Rate Snapshot
- 30-year fixed: 6.95%
- 15-year fixed: 6.16%
- 20-year fixed: 6.60%
- 30-year VA: 6.85%
- 15-year VA: 5.75%
Rates are averages and can vary by lender, loan type, and borrower profile. It’s important for buyers to shop around and compare offers.
Impact on Homebuyers and Homeowners
Higher mortgage rates are affecting affordability for many buyers. For example, a $400,000 home with a 20% down payment now brings a monthly mortgage payment of about $2,700—hundreds more than just a few years ago. This has led some buyers to pause their search, while others are adjusting their budgets or waiting for better conditions.
At the same time, inventory remains tight. Many homeowners are holding onto their low-rate mortgages from previous years, making them reluctant to sell. This keeps supply limited and supports higher home prices, even as demand cools.
Despite the recent uptick, experts do not expect rates to soar much higher in the near term. Most forecasts suggest that mortgage rates will hover in the high 6% to low 7% range for the rest of 2025.
Some analysts predict a gradual decline if inflation continues to moderate and the Fed signals a shift in policy later this year. However, significant drops to the ultra-low rates of 2020-2021 are unlikely.
FAQs
What are today’s average mortgage rates?
The national average for a 30-year fixed mortgage is 6.95%, and for a 15-year fixed, it’s 6.16%.
Why did mortgage rates rise today?
Rates increased due to global tensions and a surge in Treasury yields, which influence mortgage pricing.
