U.S. Long-Term Mortgage Rates Drop Below 6% For The First Time In Nearly Four Years

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Topline

The average long-term mortgage rate in the U.S. fell below 6% this week, reaching the benchmark for the first time in nearly four years as affordability for homebuyers has improved in the last few years but has not yet recovered from a mortgage rate spike in 2022.

In an aerial view, two-story single family homes line the streets of neighborhood on January 13, 2026 in Thousand Oaks, California.

Photo by Kevin Carter/Getty Images

Key Facts

The 30-year fixed rate mortgage average in the U.S. hit 5.98% on Thursday, according to mortgage buyer Freddie Mac, trending below the 6% mark for the first time since September 2022.

The average rate has improved year-over-year, dropping three quarters of a percent from February 2025, when rates averaged 6.76%.

While the long-term rate has improved from the 7.76% it reached in 2023, it is still well distanced from the 2.9% it boasted prior to the spike in rates in 2022, when the Federal Reserve attempted to tame high inflation with aggressive interest rate hikes.

The 10-year Treasury yield, which is closely linked to long-term mortgage rates, reached 4% on Thursday, down from about 4.07% the week prior.

Surprising Fact

U.S. home values have fallen for six consecutive months, according to a January report from Zillow, which noted the monthly mortgage payment on a typical U.S. home is now 8.4% less expensive than a year ago.

Big Number

$358,968. That is the typical U.S. home value, according to the Zillow report, with home values 0.2% higher year-over-year.

Tangent

The 15-year fixed rate mortgage average in the U.S reached 5.4% on Thursday, according to Freddie Mac, up slightly from the week before as it has largely improved from highs experienced in 2023, when the rate clocked in as high as 7%.

Key Background

While housing affordability has improved in recent months, existing-home sales have slid month-over-month and year-over-year in all regions, according to the National Association of Realtors. Lawrence Yun, chief economist for the association, said in a report the rise in affordability has been propped up by lower mortgage rates and wage gains outpacing home price growth, though he added “supply has not kept pace and remains quite low.” The median home price hit $400,300 in January, a new high triggered by low supply, according to Yun, who said, “Homeowners are in a financially comfortable position as a result.” U.S. home turnover rates hit their lowest point since the 1990s last year, with just 28 out of every 1,000 U.S. homes changing hands in the first nine months of 2025, according to Redfin.