Rates remain elevated: When should you refinance? | Current mortgage and refinance rates for February 18, 2025

Mortgage rates moved in different directions compared to last week, according to Bankrate data. See the table below for a breakdown of how each loan type moved.

Several factors move mortgage rates, some more impactful than others. The Federal Reserve has shifted from cutting rates to holding off for now as inflation resists slowing. The latest inflation report from the Labor Department showed an unexpectedly higher reading.

“This will delay any rate cuts by the Fed this year until there are clear signs that either inflation is trending toward 2 percent or the economy begins to face net job losses,” says Lawrence Yun, chief economist for the National Association of Realtors.

Keep in mind the Fed doesn’t delegate fixed mortgage rates. Those tend to track the 10-year Treasury yield, which moves up or down depending on investors’ tolerance for risk — a sentiment that shifts with inflation and other economic reports. So far in 2025, the 10-year yield continues to be buoyed higher.

“Signs that inflation is picking up again won’t be helpful to bond yields, mortgage rates or prospective borrowers," says Greg McBride, CFA, chief financial analyst for Bankrate.

Rates accurate as of February 18, 2025.

The rates listed above are marketplace averages based on the assumptions indicated here. Actual rates available within the site may vary. All rate data is accurate as of Tuesday, February 18th, 2025 at 6:30 a.m. ET.

Today's average rate for the benchmark 30-year fixed mortgage is 6.97 percent, an increase of 3 basis points over the last week. This time a month ago, the average rate on a 30-year fixed mortgage was higher, at 7.08 percent.

At the current average rate, you'll pay principal and interest of $663.29 for every $100,000 you borrow. That's $2.01 higher compared with last week.

There are several benefits to choosing a fixed-rate mortgage to purchase a new home, including predictable mortgage payments.

Read more: What is a fixed-rate mortgage and how does it work?

The average 15-year fixed-mortgage rate is 6.27 percent, up 4 basis points since the same time last week.

Monthly payments on a 15-year fixed mortgage at that rate will cost around $859 per $100,000 borrowed.

The average rate on a 5/1 ARM is 6.26 percent, down 5 basis points from a week ago.

Monthly payments on a 5/1 ARM at 6.26 percent would cost about $616 for each $100,000 borrowed over the initial five years.

Today's average rate for jumbo mortgages is 7.06 percent, unaltered over the last week. A month ago, the average rate for jumbo mortgages was greater than 7.06 at 7.13 percent.

At the current average rate, you'll pay a combined $669.34 per month in principal and interest for every $100,000 you borrow.

The average 30-year fixed-refinance rate is 6.93 percent, up 2 basis points compared with a week ago. A month ago, the average rate on a 30-year fixed refinance was higher at 7.09 percent.

At the current average rate, you'll pay $660.61 per month in principal and interest for every $100,000 you borrow. That's an increase of $1.34 over what you would have paid last week.

Mortgage rates have started off 2025 slightly higher than the yearly averages for 2024 and 2023. The average 30-year fixed rate was 7.03 percent as of Feb. 12, according to Bankrate’s survey of lenders. This is a dip from a 7.09 percent average in January, and down from 7.11 percent this time last year.

“Prospective homebuyers should keep an eye on inflation, more so than the Fed, as a decline in inflation is a necessary precursor to Treasury yields and mortgage rates moving lower,” McBride says.

While rates this year might not go down as much as hoped, there is at least one lower-rate trend sticking around: rate buydowns, particularly on newly-built homes. This comes as some of the nation’s largest builders report record-setting years in 2024, despite higher mortgage rates.

“Home builders have added more new homes last year and continue to offer rate buydowns on new construction,” says Dr. Selma Hepp, chief economist for CoreLogic.

The answer depends on your current interest rate, how prevailing rates move this year and your individual goals.

Eighty-four percent of collective mortgage debt is priced at 6 percent or below, according to Realtor.com. If current forecasts bear out and rates stay within the 6 percent range, most mortgage holders won’t get a lower rate by refinancing.

Still, if you’re set on refinancing to pull cash out of your equity, keep your goals in mind.

“If your intention is to take cash out of your home to pay down credit card debt, I'd urge caution: Make sure you've got your spending under control before you tap home equity,” says Jeff Ostrowski, principal writer at Bankrate. “The last thing you want is to use the proceeds of a refi to pay off debt, only to find yourself in the same situation in a year."

• Expert poll: Mortgage rate trend predictions for this week
• The latest mortgage news for this week
• Compare current mortgage rates for today

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.

Learn more about Bankrate’s rate averages, editorial guidelines and how we make money.