Current Mortgage Rates as of October 9, 2024: A Comprehensive Overview

As of October 9, 2024, national mortgage rates have seen a significant increase across all loan terms, according to the latest data from Bankrate. The average rates for 30-year fixed, 15-year fixed, 5/1 adjustable-rate mortgages (ARMs), and jumbo loans have all jumped compared to the previous week.

These rates represent marketplace averages based on specific assumptions, and actual rates may vary. This report has been reviewed by Suzanne De Vita, and all rate data is accurate as of Wednesday, October 9, 2024, at 7:30 a.m. ET.

Mortgage rates fluctuate in response to changes in the economy, as policymakers and investors analyze new data, and lenders adjust their risk tolerance. Recent decisions by the Federal Reserve have also played a crucial role. In mid-September, the Fed implemented a half-point interest rate cut, marking its first reduction since the pandemic began. The Fed has indicated that further rate cuts could occur later this year, depending on upcoming economic data.

Historically, mortgage rates have shown a downward trend, dipping below 6.5 percent as of September 11. Slower inflation and weaker job numbers have increased the likelihood of another rate cut at the Fed's next meeting on September 18.

While the Fed does not directly set fixed mortgage rates, its decisions significantly influence them. Typically, mortgage rates align with the yield on 10-year Treasury notes. When demand for these notes decreases, the yield rises, often indicating investor confidence in the economy and monetary policy.

Regardless of the Fed's actions, individual housing needs may prompt buyers and sellers to act. If you are considering purchasing a home or selling your property, it is essential to shop around for the best possible mortgage rate.

Currently, the average rate for a 30-year fixed mortgage stands at 6.46 percent, reflecting an increase of 26 basis points from the previous week. Just a month ago, the average rate was lower at 6.27 percent. At this rate, borrowers will pay approximately $629.44 per month in principal and interest for every $100,000 borrowed, which is $16.97 more than last week.

For those interested in estimating monthly payments, our mortgage calculator can help you determine potential savings from extra payments and calculate total interest over the life of the loan.

The average rate for a 15-year fixed mortgage is currently 5.78 percent, which is up 30 basis points from the previous week. Monthly payments for a 15-year fixed mortgage at this rate will be around $832 per $100,000 borrowed.

Meanwhile, the average rate for a 5/1 ARM is 5.96 percent, reflecting a 16 basis point increase from last week. Monthly payments on a 5/1 ARM at this rate would cost approximately $597 for each $100,000 borrowed during the initial five years.

For jumbo mortgages, the average rate is 6.54 percent, which is up 21 basis points from the past week. A month ago, the average rate was lower at 6.37 percent. At the current average rate, borrowers will pay about $634.70 per month in principal and interest for every $100,000 borrowed, an increase of $13.77 from last week.

The average rate for a 30-year fixed refinance is now 6.48 percent, up 26 basis points since last week. A month ago, this rate was lower at 6.30 percent. At the current average rate, monthly payments will be around $630.75 per $100,000 borrowed, which is $16.98 higher than last week.

With the Fed's recent rate cuts, mortgage rates may continue to decline through the end of 2024 and into 2025. Greg McBride, CFA, chief financial analyst for Bankrate, notes, "The Fed cuts rates by half a percentage point right out of the gate, and the Summary of Economic Projections indicated expectations of higher unemployment and lower inflation than previously forecast. This will sustain the downward momentum in mortgage rates."

Lower rates have already encouraged some homeowners to refinance, and more may consider this option if rates continue to drop. According to CoreLogic, nearly 3 million outstanding mortgages have rates at or above 6.75 percent. As rates decline, refinancing could become a viable option for more borrowers.

"The best time to consider refinancing is when you can reduce your rate by half to three-quarters of a percentage point," McBride advises.

For those looking to purchase homes, many are still waiting for lower rates. Bankrate’s Mortgage Rates Survey reveals that 47 percent of homeowners would need rates below 5 percent to feel comfortable buying a home in 2024.

Bankrate provides two sets of rate averages from two different surveys: one conducted daily (overnight averages) and another weekly (Bankrate Monitor averages). The rates presented here are based on overnight averages, calculated without existing relationships or automatic payments.

For more information on Bankrate’s rate averages, editorial guidelines, and revenue generation, visit our website.