Today's Best Mortgage & Refinance Rates for July 1, 2020

Despite interest rates holding at record lows, mortgage loan applications ticked down for the second week in a row as the housing supply remained tight.

The total number of mortgage loan applications slipped 2% for the week ending June 26 compared to the previous week, according to the Mortgage Bankers Association. Purchase and refinance applications were both down 2% week-over-week, although the number of applications is still sharply higher than a year ago. The number of purchases loans was 15% higher than the same week last year, while refinance loans were up 74%.

"The weakening in activity is potentially a signal that pent-up demand is starting to wane and that low housing supply is limiting prospective buyer's options," said Joel Kan, MBA's associate vice president of economic and industry forecasting.

According to a study released Wednesday by Realtor.com, total housing inventory was down 27% last month compared to June 2019 with the number of new listings dropping 19%. However, the listings have picked up compared to April and May, where new listings dropped 44% and 29% respectively. The study also shows the 50 largest metro areas were performing slightly better than the rest of the country in terms of sales and inventory.

"Our June data reinforces that buyers are out in force and serious about finding a home. Although the new listings trend has improved, inventory continues to decline, indicating that what is coming onto the market is selling," said Danielle Hale, chief economist for Realtor.com.

Average Mortgage Rates Today

For the week ending June 25, the average interest rate for a 30-year fixed-rate mortgage remained at an all-time low of 3.13% with 0.8 points paid, according to Freddie Mac. That's 0.02 percentage points below the previous low of 3.15% set in May.

The average rate for a 15-year fixed-rate mortgage was 2.59% with 0.8 points paid, up 0.01 percentage points from the previous week, while the average rate on a 5-year adjustable-rate mortgage decreased slightly to 3.08% with 0.5 points paid.

Average Refinance Rates Today

A year ago the average mortgage rate was 3.73%. A homeowner with a $250,000 mortgage balance paying 3.73% on a 30-year loan could cut their monthly payment from $1,155 to $1,071 by financing at today’s lower rates. (It is important to consider closing fees and that refinancing could reset the clock on your mortgage, meaning you will have to make payments longer.)

Today’s Mortgage Rates

Of course, mortgage rates vary widely by location and personal factors like location, the size of your down payment and your credit score. Here are today’s advertised mortgage rates at some of the mortgage industry’s largest lenders. (The rates you see may be different.)