Mortgage Update – What’s Happening Now (Dec 2025)

There’s positive movement in 2025 as we head into 2026. Here’s the latest you need to know:

Mortgage Rates as of 12/11/25

📉 Rates Are Starting to Ease

• The average 30-year mortgage rate is around ~6.2–6.3%, which is lower than earlier in the year and down from the 7%+ highs seen in 2025.

• This moderation is making monthly payments slightly more affordable for buyers and encouraging some refinance activity.

💵 What’s Driving the Change

• The Federal Reserve has cut its key interest rate three times in 2025, which can help mortgage rates trend downward — though they don’t fall one-for-one with Fed moves.

• Mortgage rates tend to follow Treasury yields and broader economic data, so upward or downward movement may happen slowly.

📆 What Experts Think for 2026

• Many forecasts say mortgage rates could hover near current levels throughout 2026, offering a more balanced housing market than the sharp swings seen before.

• Some long-range projections even suggest rates may dip below 6% late in 2026, which could help buyers and refinancers.

🧠 What This Means for You

For buyers:
✔ A rate near ~6% means monthly payments are easier to predict.
✔ You don’t need perfect timing — small changes matter more than big swings right now.

For homeowners thinking about refinancing:
✔ It may be worth checking current rates — even small drops can improve your monthly payment or shorten your loan term.

📌 Quick Takeaways

• 📊 Rates are above historical lows but lower than earlier this year.

• 📉 Fed cuts and market forces are helping rates level out.

• 🔎 Experts see steady mortgage rates into 2026, with potential dips late in the year.