Rates go down - Mortgage rates for today, August 7, 2024

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Aug 07, 2024 / 3 min read

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

Loan type	Today's rate	Last week's rate	Change
30-year fixed	6.56%	6.85%	-0.29
15-year fixed	6.00%	6.33%	-0.33
5/1 ARM	6.18%	6.42%	-0.24
30-year fixed jumbo	6.75%	6.89%	-0.14

Rates as of August 7, 2024.

These rates are marketplace 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 Wednesday, August 7th, 2024 at 7:30 a.m. ET.

Market mortgage rates fluctuate as the economy evolves , new data comes in and lenders decide how much risk they’re willing to tolerate on a given day.

Historical mortgage rates: How do today’s rates compare to years past?

The average rate on a 30-year fixed mortgage retreated under 7 percent in July --- a first since February --- thanks to a brighter June inflation report. Inflation has run hotter than the Federal Reserve’s 2 percent target for some time now, prompting the Fed to keep its benchmark rate elevated — a policy the central bank held firm on at its July meeting. As of now, market watchers expect the Fed to start cutting rates in September.

“The Fed's statement [in July] seems to imply the probability of rate decrease in September has increased due to a weakening — but still strong — labor market and progress on inflation,” says Allison Kaminaga, lecturer of Mathematics and Economics at Bryant University.

The Fed doesn’t outright determine fixed mortgage rates, but its decisions matter. Mortgages tend to increase or decrease with the 10-year Treasury yield, the effective yield rate on 10-year Treasury notes. The 10-year yield rises when there’s less demand for notes — and this tends to happen when investors feel confident in the economy, including monetary policy.

Still, your housing needs might change regardless of the Fed, inflation and yields. If you want to buy a home or need to sell now, shop around to find the lowest-possible rate.

30-year mortgage rate trends down, -0.29%

The average rate you'll pay for a 30-year fixed mortgage today is 6.56 percent, down 29 basis points over the last week. This time a month ago, the average rate on a 30-year fixed mortgage was higher, at 6.97 percent.

At the current average rate, you'll pay a combined $636.02 per month in principal and interest for every $100,000 you borrow. That's $19.24 lower, compared with last week.

Learn more about 30-year fixed mortgage rates, and compare to a variety of other loan types.

15-year mortgage rate moves down, -0.33%

The average 15-year fixed-mortgage rate is 6.00 percent, down 33 basis points over the last seven days.

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

5/1 ARM moves down, -0.24%

The average rate on a 5/1 adjustable rate mortgage is 6.18 percent, down 24 basis points since the same time last week.

Monthly payments on a 5/1 ARM at 6.18 percent would cost about $611 for each $100,000 borrowed over the initial five years.

Jumbo mortgage rate dips, -0.14%

The average rate you'll pay for a jumbo mortgage is 6.75 percent, a decrease of 14 basis points since the same time last week. Last month on the 7th, jumbo mortgages' average rate was higher at 7.06 percent.

At the current average rate, you'll pay $648.60 per month in principal and interest for every $100,000 you borrow. That's lower by $9.33 than it would have been last week.

Current 30 year mortgage refinance rate dips, -0.31%

The average 30-year fixed-refinance rate is 6.58 percent, down 31 basis points since the same time last week. A month ago, the average rate on a 30-year fixed refinance was higher at 6.99 percent.

At the current average rate, you'll pay $637.34 per month in principal and interest for every $100,000 you borrow. That's a decline of $20.59 from last week.

When will mortgage rates go down?

While 30-year mortgage rates moved down slightly in July, it’s unlikely there’ll be a meaningful drop beyond that if the economy continues its strong streak.

Forecasters expect rates to land closer to mid-6 percent by the end of 2024, according to Bankrate’s August mortgage rate outlook.

“Even if the Fed starts cutting rates this year, mortgage rates won’t get down to, or below, 6 percent unless there is a significant economic slowdown,” McBride says.

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.

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