Homebuyers and homeowners looking to refinance in 2026 began the year with cautious optimism as mortgage interest rates improved. Rates declined by about a percentage point from January 2025 to January 2026. Although a Federal Reserve rate cut was not expected initially, many believed it could happen later in the year. However, geopolitical events like the war with Iran, increased oil prices, and rising inflation reversed this trend. By mid-April, rates had risen by more than half a percentage point amid global and domestic uncertainties.
Efforts to end the conflict have since shifted market conditions slightly. This transformation could positively impact mortgage rates, especially if the Federal Reserve shows willingness for further cuts during meetings this week.
Today’s Mortgage Interest Rates
As of June 16, 2026, the average interest rate on a 30-year mortgage is 6.37%, according to Zillow, while the median rate for a 15-year mortgage is 5.87%. These figures represent a significant drop from the previous month’s rates of 6.62% and 6%, respectively, on May 21.
If you can find rates below 6% by shopping around, you might secure a good deal this month. Rates fluctuate daily, so consider locking in if current rates suit your budget to avoid future volatility.
Today’s Mortgage Refinance Rates
The average refinance rate for a 30-year mortgage is 6.70% as of June 16, 2026, with the median rate for a 15-year term at 5.79%. These rates are lower than those on May 21, at 6.87% and 6%. If these rates offer a substantial reduction from your current loan, refinancing may be worth considering. However, it’s crucial to calculate refinancing closing costs, as these expenses could offset potential savings. Stay in the home long enough to recover those costs; otherwise, refinancing might not be beneficial if you plan to move or sell soon.
Conclusion
Current mortgage rates include a 6.37% average for 30-year purchases and 5.87% for 15-year alternatives. Refinance rates stand at 6.70% for a 30-year term and 5.79% for a 15-year option, reflecting historic averages and recent improvements. By shopping around and exploring ways to secure lower-than-average rates, borrowers might find affordable options that support their purchasing or refinancing decisions.
Edited by Angelica Leicht