Today's Mortgage Rates - 06/13/2025

Little Change For Mortgage Rates

Mortgage rates moved little this again this week as economic conditions don't support significant moves either up or down at the moment.

As reported by Freddie Mac today, the average offered interest rate for a conforming 30-year fixed-rate mortgage (FRM) declined by just one basis point (0.01%) to 6.84%. This rate has barely budged over the last two months, and nearly identical to where it was one year ago.

Average offered rates for 15-year fixed-rate mortgages fell by twice as much as its longer-term sibling, with a two basis point (0.02%) decline leaving its rate at 5.97% Compared to last year at this time, 15-year FRM rates are about 20 basis points cheaper.

At present, a 5/1 ARM might offer a homebuyer a lower-cost alternative to a long-term fixed-rate mortgage, but the difference in rate between 30-year FRMs and 5-year hybrid ARMs shrank this week. The Mortgage Bankers Association said that the initial fixed interest rate on a hybrid 5-year ARM took back last week's eight basis point decline with an eight basis point increase (0.08%), returning to 6.22%, leaving the gap in rate compared to a 30-year FRM at sixty-two basis points (0.62%). To learn more about ARMs, you should read HSH's Comprehensive Guide to Adjustable Rate Mortgages.

Financial markets are waiting to start to see the impact of the imposition of new tariffs on inflation, but so far, these seem still to be in the future. The latest reports covering Consumer and Producer Price indexes for May found very little change, let alone anything alarming or concerning. Overall CPI rose by 0.1% and annual CPI is now 2.4%; core CPI rose by just 0.1% and held steady at an annual 2.8% for a third consecutive month. No improvement, but no worsening, either.

Producer prices were also pretty tame, with overall PPI edging 0.1% higher to a 2.6% annual pace, with core goods inflation coming in at 0.2%, the lowest figure since the start of the year and holding a steady 2.4% annual rate since March. It is widely expected that the increased costs tariffs will bring should start to show soon, but how large their impact will be and how long they will foster new price pressures is unclear.

The softer labor markets of late suggest that somewhat lower mortgage rates may start to show. If nothing else, the not-yet inflation situation amid slackening labor conditions will give the Fed much to think about at their meeting next week. While the short-term rates the Fed controls aren't likely to be trimmed, there does appear to be a good chance of slightly lower mortgage rates in the market in the coming days.

Each week in HSH's MarketTrends newsletter, we track and discuss economic conditions that affect mortgage rates and their impact on housing markets and consumers. Read the most recent edition of MarketTrends or subscribe for email delivery.