Today’s Mortgage Rates April 11, 2025: Rates Go Down by 4 Basis Points

As of April 11, 2025, mortgage rates have finally ticked down. The average 30-year fixed mortgage rate is at 6.83%, while the average 15-year fixed mortgage rate has dropped to 6.18%. This decrease comes after rates spiked earlier in the week due to economic uncertainty and shifts in treasury yields related to tariff announcements. The current trend suggests a gradual easing of mortgage rates, but they remain relatively high compared to historical averages.

Today's Mortgage Rates – April 11, 2025: Rates Tick Down

Key Takeaways

• 30-Year Fixed Rate: Decreased to 6.83%.
• 15-Year Fixed Rate: Down to 6.18%.
• Refinance Rates: 30-year refinance at 6.86%.
• Market Impact: Rates influenced by recent tariff policies and treasury yields.
• Expectation: Rates may continue to decline gradually throughout 2025.

Understanding Mortgage Rates

Mortgage rates represent the cost of borrowing money to purchase or refinance a home. They are expressed as a percentage of the loan amount and can significantly impact your monthly payments. Understanding how these rates work is crucial for anyone considering a mortgage or refinancing an existing loan.

Fixed vs. Adjustable Rates

There are primarily two types of mortgage rates:

• Fixed-Rate Mortgages: The interest rate remains the same throughout the loan term. For example, with a 30-year fixed mortgage at 6.83%, you will pay this rate every month for 30 years, irrespective of market fluctuations.
• Adjustable-Rate Mortgages (ARMs): The interest rate is fixed for a specific period (e.g., the first seven years for a 7/1 ARM) and then adjusts based on market conditions. These initial rates are typically lower than fixed rates but can increase significantly over time.

Current Mortgage Rates

Here is a detailed overview of current mortgage rates as of April 11, 2025, as provided by Zillow:

Loan Type	Mortgage Rate (% APY)	Refinance Rate (% APY)
30-Year Fixed	6.83	6.86
20-Year Fixed	6.62	6.85
15-Year Fixed	6.18	6.19
5/1 ARM	7.17	6.95
7/1 ARM	7.20	7.18
30-Year VA	6.41	6.44
15-Year VA	5.99	6.12
5/1 VA	6.06	6.15
30-Year FHA	–	5.87

Note: These rates are national averages and rounded to the nearest hundredth.

Factors Affecting Mortgage Rates

Several factors influence mortgage rates, including:

1. Economic Indicators: Economic growth, unemployment rates, and inflation can all affect how lenders set their rates.
2. Treasury Yields: Mortgage rates tend to move with the yield on 10-year Treasury notes. When investors expect the economy to grow, yields rise, which often leads mortgage rates to increase.
3. Federal Reserve Policies: The Federal Reserve influences interest rates through its monetary policy. Decisions around interest rate hikes or cuts can play a significant role in mortgage rates.
4. Home Demand: High demand for housing can drive up rates, as lenders may see more risk in issuing mortgages.
5. Credit Scores: Borrowers with higher credit scores generally qualify for lower interest rates because they are perceived as lower risk by lenders.

Trends and Changes in the Market

Over the past week, mortgage interest rates have shown a small downward trend. After two consecutive days of increases, observed rates dropped slightly due to the announcement of a 90-day pause on tariffs by former President Trump. However, this doesn't negate the overall higher rates compared to previous weeks. Here's a look at how rates have changed:

• The average 30-year fixed mortgage rate fell by four basis points from the previous day.
• The 15-year fixed mortgage dropped by six basis points.

Looking forward, those pondering the timing of their home purchase or refinance might wonder about future changes. Market analysts predict that while there might be fluctuations, rates are likely to decline gradually throughout 2025. However, even with potential easing, it is unlikely rates will revert to the historical lows seen in 2020 and 2021, where they dipped below 3%.

Mortgage Refinancing: Key Rates Today

Refinancing your mortgage involves taking out a new loan, typically to replace your existing mortgage with a new one that has better terms. The current refinancing landscape as of April 11, 2025, looks as follows:

• 30-Year Fixed Refinance Rate: 6.86%
• 15-Year Fixed Refinance Rate: 6.19%
• 5/1 ARM: 6.95%
• 30-Year VA Refinance Rate: 6.44%
• 30-Year FHA Refinance Rate: 5.87%

Refinancing rates differ slightly from purchase mortgage rates. This disparity is influenced by various factors, including lender policies and market conditions. Generally, people refinance their mortgages to secure lower rates, switch to different mortgage types, or tap into home equity.

When considering refinancing, borrowers should also take into account closing costs, the length of time they plan to stay in their current home, and the potential for increased monthly payments if they choose a loan with a shorter term.

How Interest Rates Impact Monthly Payments

The impact of mortgage interest rates on monthly payments can be significant. Let’s illustrate this with an example using the current average rates:

Imagine you're taking out a 30-year fixed mortgage of $300,000 at an interest rate of 6.83%:

• Your estimated monthly payment (principal and interest) would be around $1,973.
• If rates were to drop to 6.5%, your monthly payment could decrease to $1,896, saving you $77 per month.

FAQs about Mortgage Rates

What are mortgage interest rates doing today?

As of April 11, 2025, the national average 30-year mortgage rate is at 6.83%, and the 15-year mortgage rate is 6.18%. Rates have decreased slightly compared to previous weeks.

How do mortgage rates change?

Mortgage rates fluctuate daily based on economic factors such as inflation, the Federal Reserve's interest rate policy, and overall market conditions. They can also be influenced by changes in consumer demand for housing.

Are refinancing rates different from purchase rates?

Yes, refinancing rates can differ from purchase rates. They depend on a variety of factors, including the borrower’s creditworthiness and market conditions. Currently, the 30-year refinance rate is 6.86%.

What factors affect my mortgage rate?

Your interest rate can be affected by several factors, including your credit score, the type of loan you choose, the length of the loan term, and current economic conditions.

Will mortgage rates go lower in 2025?

Market analysts believe there is a possibility for mortgage rates to decline gradually throughout 2025, but they are unlikely to fall back to the historic lows seen in previous years, particularly the levels below 3%.

Summary: What Lies Ahead

The mortgage market currently shows signs of a slight downward trend. However, it is essential to remain wary of the economic conditions that can quickly shift these rates. While today's rates are down compared to last week, they remain historically high, and potential homebuyers should evaluate their options carefully.