1 week Ago
Getty Images Mortgage refinance rates have been moderating in response to rising layoffs and worries about a potential economic downturn. Despite the recent dip in rates, experts don't expect another refinancing boom like in 2020 and 2021, when mortgage rates dropped to historic lows. Until mortgage rates move below 6%, which isn't guaranteed this year, refinancing activity is likely to remain limited.
Most homeowners refinance to save money on their monthly payment with a lower interest rate. However, you might be considering refinancing for other reasons, such as modifying your loan term or type. Mortgage refinance rates change daily depending on multiple economic and political factors.
Check out our weekly mortgage rate forecast for expert predictions on where rates are headed. When mortgage rates start to fall, be ready to take advantage. Experts recommend shopping around and comparing multiple offers to get the lowest rate.
Enter your information here to get a custom quote from one of CNET's partner lenders. About these rates: Bankrate's tool features rates from partner lenders that you can use when comparing multiple mortgage rates. Current refinance rate trends Late last year, mortgage rates climbed back into the 7% range after the Federal Reserve said it would adopt a slower pace of interest rate cuts in 2025 due to limited progress on inflation.
Since then, markets have grown increasingly concerned that the Trump administration's policies, particularly on trade, funding cuts and immigration, will lead to higher unemployment and reduced economic growth. A weakening economy would likely prompt the Fed to resume cutting interest rates in May or June, putting downward pressure on mortgage rates and increasing refinance activity. Where refinance rates are headed in 2025 Experts say the Fed's rate cuts could help mortgage interest rates drop.
.. Katherine Watt.
