US mortgage rates fell for a third straight week, with the average 30-year fixed rate easing to 7.18%, Freddie Mac said in its latest weekly survey.
The rate is down from 7.24% the previous week. The 15-year fixed rate also edged lower, to 6.57% from about 6.60%. A year ago, the 30-year rate stood at 6.22% — so borrowers are still paying roughly a full percentage point more than they were 12 months ago, despite the recent improvement.
Freddie Mac chief economist Sam Khater said rates “continued their downward trajectory this week, improving the environment for prospective homebuyers against a backdrop of strong economic growth.” Mortgage rates track 10-year Treasury yields, which eased after the US midterm elections.
A short-lived reprieve?
The survey was published on Thursday, November 5 — before Friday’s hot jobs report, which showed employers adding 165,000 jobs in October, far above the 65,000 expected. That report pushed traders to raise the odds of another Federal Reserve rate rise in December to about 80%, and daily rate sheets on Friday had the 30-year rate near 7.1%, suggesting the downward drift may not last.
The Mortgage Bankers Association expects the 30-year rate to average 7.3% in the final quarter of 2026 and to stay above 7% through 2027 — a reminder that, for now, the era of cheap mortgages is not coming back.
What it costs a buyer
For a buyer borrowing $400,000 over 30 years, the difference between 7.18% and the 6.22% of a year ago is roughly $260 a month — about $3,100 a year — which is why even small weekly moves matter to households weighing a purchase. The 15-year fixed rate, popular with homeowners who refinance, also edged lower to 6.57%. Freddie Mac’s survey covers a sample of lenders across the country and is the benchmark most quoted by the industry. Even at 7.18%, the rate remains well above the sub-3% levels of 2021 — but for buyers who have waited through two years of higher rates, three consecutive weekly falls are the first sustained improvement in months. For now, the advice from brokers is unchanged: lock in a rate you can afford, and worry about refinancing later if rates fall further.
