Current refi mortgage rates report for June 30, 2026

The current average refinance rate on a 30-year, fixed-rate home loan is 6.47%, according to data from the popular real estate marketplace Zillow. This rate represents a small dip from the previous day's rate of 6.54%. If you're a homeowner hoping to refinance your mortgage for a lower rate or perhaps to tap home equity, read on to see average refi interest rates for a variety of loan types and terms. Refinancing a mortgage can be a complex process, so it's essential to understand the current market climate to make an informed decision.

Note that Fortune reviewed the most recent Zillow data available as of June 29. Mortgage rates have been a major topic of discussion in recent years due to various economic and geopolitical factors. One of the primary drivers of mortgage rates is the Federal Reserve's monetary policy decisions, particularly the federal funds rate. The Fed's decision to cut the federal funds rate in late 2024 led to a brief dip in mortgage rates, but they failed to significantly impact the overall trend. As a result, mortgage rates remained stubbornly near the 7% mark for 30-year, fixed-rate loans nationwide.

Mortgage refinancing involves replacing your existing home loan with a new one. Similar to your initial mortgage application, you'll need to apply and meet lender criteria, including your credit profile, income verification, debt-to-income (DTI) ratio, and more. This process typically results in a small hit to your credit score due to the hard inquiry, and there's a risk of denial if you don't meet the lender's requirements. In addition, refinancing can be costly, with closing costs typically ranging from 2% to 6% of the loan amount. For a $300,000 loan, you might pay between $6,000 and $18,000, for example.

Some observers had hoped that mortgage interest rates would decrease following the Federal Reserve's cuts to the federal funds rate in late 2024. However, mortgage rates remained significantly higher than the pandemic-era lows in the range of 2% and 3%. As of the third quarter of 2024, 82.8% of homeowners with mortgages had rates below 6%, according to a Redfin report. This means a significant chunk of homeowners have been locked in, unwilling or unable to move or refinance with rates as high as they are currently.

Still, homeowners got some relief starting in late August and early September of 2025, when mortgage rates started trending downward ahead of the Sept. 16-17 Fed meeting. They dropped to a low not seen in almost a year, and the Fed delivered a much-anticipated reduction of a quarter percentage point to the federal funds rate. The central bank followed up with a second cut of the same amount at its October meeting and a third (also the same amount) in early December. Although rates have ticked upward in recent months, many experts believe that the current rate environment still presents opportunities for homeowners to refinance and secure a lower interest rate.

One of the primary factors driving mortgage rates is the state of the economy. A strong economy typically leads to higher mortgage rates due to increased demand for loans. Conversely, a weakening economy can lead to lower mortgage rates as lenders become more cautious and tighten their lending standards. As the global economy continues to navigate the aftermath of the pandemic, the demand for mortgages is expected to remain strong, which could keep mortgage rates elevated in the near term.

Refinancing isn't free, so it's crucial to weigh the costs before you apply for a refi. A guideline you'll often hear is that refinancing makes sense if you can secure a rate that's a full percentage point lower than your current rate. For example, if you have a 7% loan, refinancing when you're able to land a 6% rate could be a smart move to save on interest charges over the life of your loan. However, refinancing can also involve risks, such as higher closing costs and potential penalties for early loan payoffs.

You might also consider a cash-out refinance to tap into your home equity, which typically requires at least 20% equity in your home. Homeowners have significant flexibility to use the cash disbursement from such a refi however they please, as there aren't generally restrictions on what you can do with the cash portion of a cash-out refi. For example, you're free to invest those funds, use them to cover a down payment on a vacation home or rental property, or pay off credit card debt.

Refinancing can also allow you to change your loan term. For instance, someone originally took out a 15-year mortgage but finds their budget stretched may benefit from switching to a 30-year term for a smaller monthly payment. Additionally, refinancing can be a way to switch loan types, such as moving from an FHA loan to a conventional one to get rid of your FHA loan's lifetime mortgage insurance (MIP) requirement, or from an adjustable-rate mortgage (ARM) to a fixed-rate mortgage.

There are a wide variety of mortgage refinance loans out there, and the right one for your needs will depend on your goals and what type of mortgage you currently have. Here are some common refi options: fixed-rate loans, adjustable-rate loans, FHA loans, VA loans, USDA loans, and jumbo loans, among others. When selecting a refi loan, consider factors such as interest rates, fees, loan terms, and any restrictions on usage or repayment.

You're not obligated to refinance with your original lender, and shopping around can help you find the lowest interest rate available to you and perhaps the best service as well. However, your existing lender might offer incentives, such as waiving closing costs, if you stay with them. So you should at least broach the topic with your current lender.

Also, know that if your mortgage has been purchased by Fannie Mae or Freddie Mac, you might be eligible for programs like Refi Now and Refi Possible. These programs can help you refinance your mortgage with more favorable terms, including lower interest rates and reduced fees. Nevertheless, carefully review the terms and conditions of these programs to ensure they align with your financial goals and circumstances.