Rates fall ahead of next week's Fed meeting - Mortgage rates for December 13, 2024

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Dec 13, 2024 / 3 min read

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Mortgage rates dropped across all terms compared to a week ago, according to Bankrate data. Rates for 30-year fixed, 15-year fixed, 5/1 ARMs and jumbo loans all fell.

Loan type	Today's rate	Last week's rate	Change
30-year fixed	6.70%	6.78%	-0.08
15-year fixed	6.00%	6.10%	-0.10
5/1 ARM	6.32%	6.39%	-0.07
30-year fixed jumbo	6.84%	6.87%	-0.03

Rates accurate as of December 13, 2024.

These rates are averages based on the assumptions indicated here. Actual rates available across the site may vary. This story has been reviewed by Suzanne De Vita. All rate data accurate as of Friday, December 13th, 2024 at 7:30 a.m. ET.

Despite a period of declines in the fall, mortgage rates have been mostly elevated this year, with the popular 30-year loan vacillating between the 6 and 7 percent ranges. That’s closer to the historical norm of about 7.2 percent, but still much higher than what borrowers became accustomed to in the last decade.

Thirty-year mortgage rates tend to track the 10-year Treasury yield, which shifts continuously alongside the economy and the forces that shape it. More recently, rates have been driven by factors like inflation, the election and geopolitical developments abroad.

The Federal Reserve, too, has some impact, although it doesn’t directly set fixed mortgage rates. The central bank is poised to cut its benchmark interest rate again next week.

"I expect mortgage rates to yo-yo around the current level,” says Sean Salter, associate professor of Finance at Middle Tennessee State University. “With a Fed rate cut expected next week, I believe markets will generally remain in the current rate neighborhood in the interim."

30-year fixed-rate mortgage drops, -0.08%

Today's average 30-year fixed-mortgage rate is 6.70 percent, down 8 basis points over the last seven days. This time a month ago, the average rate on a 30-year fixed mortgage was higher, at 6.92 percent.

At the current average rate, you'll pay principal and interest of $645.28 for every $100,000 you borrow. That's lower by $5.31 than it would have been last week.

Most mortgage lenders defer to the 30-year, fixed-rate mortgage as the go-to for most borrowers as it allows the borrower to disperse loan payments out over 30 years, keeping their monthly payment lower.

15-year mortgage rate moves lower, -0.10%

The average rate you'll pay for a 15-year fixed mortgage is 6.00 percent, down 10 basis points since the same time last week.

Monthly payments on a 15-year fixed mortgage at that rate will cost roughly $844 per $100,000 borrowed.

5/1 adjustable rate mortgage falls, -0.07%

The average rate on a 5/1 adjustable rate mortgage is 6.32 percent, down 7 basis points from a week ago.

Monthly payments on a 5/1 ARM at 6.32 percent would cost about $620 for each $100,000 borrowed over the initial five years.

Jumbo loan interest rate retreats, -0.03%

The average jumbo mortgage rate today is 6.84 percent, down 3 basis points over the last week. Last month on the 13th, the average rate for jumbo mortgages was greater than 6.84 at 6.95 percent.

At today's average rate, you'll pay principal and interest of $654.59 for every $100,000 you borrow. That's down $2.00 from what it would have been last week.

30-year fixed-rate refinance slides, -0.07%

The average 30-year fixed-refinance rate is 6.68 percent, down 7 basis points over the last seven days. A month ago, the average rate on a 30-year fixed refinance was higher at 6.92 percent.

At the current average rate, you'll pay $643.95 per month in principal and interest for every $100,000 you borrow. That represents a decline of $4.65 over what it would have been last week.

When will mortgage rates go down?

Mortgage rates have decreased somewhat since earlier this year, with the 30-year fixed-rate loan down from a high of 7.39 percent in May to 6.78 percent as of mid-December.

Still, don’t count on more declines before the year’s out.

“The year is winding down, and the markets will settle in through the holidays,” says Derek Egeberg, branch manager with Guild Mortgage in Yuma, Arizona. “Do not expect much movement in either direction until the new year kicks off and the new administration takes over.”

Methodology

Bankrate displays two sets of rate averages that are produced from two surveys we conduct: one daily (“overnight averages”) and the other weekly (“Bankrate Monitor averages”).

The rates on this page represent our overnight averages. For these averages, APRs and rates are based on no existing relationship or automatic payments.

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