Mortgage rates have been described as steady over the last nearly 20 weeks but continued economic volatility is related to incremental increases that continue to push them closer to 7%.
According to the latest Primary Mortgage Market Survey® (PMMS®) released by Freddie Mac Thursday, the 30-year fixed-rate mortgage (FRM) averaged 6.89%, an increase from last week’s average of 6.86%.
“This week, the 30-year fixed-rate mortgage rose slightly higher,” said Sam Khater, Freddie Mac’s chief economist. “Aspiring buyers should remember to shop around for the best mortgage rate, as they can potentially save thousands of dollars by getting multiple quotes.”
Realtor.com Senior Economist Jake Krimmel noted the increase tracks modest gains in the 10-year Treasury yield and comes amid President Trump’s calls to end the federal government’s conservatorship over Fannie Mae and Freddie Mac. Mortgage rates have now climbed for three straight weeks, up 13 basis points since early May and a full 25 basis points since early April, Krimmel noted.
“High mortgage rates will continue to pose significant challenges for homebuyers,” he said. “With rates threatening to cross 7 percent for the first time since January, the ‘lock-in effect’—where current homeowners are reluctant to sell and give up their lower mortgage rates—shows no signs of easing up.”
Despite persistently high rates, Krimmel pointed to growing signs the market is coming into better balance for prospective buyers.
“Springtime is usually when the market starts heating up, but this year, seasonally adjusted home prices fell month-over-month,” he noted, adding while overall inventory remains below pre-pandemic norms, both new listings and total homes for sale continued to rise last month. “Furthermore, homes are staying on the market for longer, and nearly 1 in 5 listings saw a price cut last month, suggesting buyers may be regaining some bargaining power despite rising interest rates.”
This week’s numbers:
- The 30-year FRM averaged 6.89% as of May 29, 2025, up from last week when it averaged 6.86%. A year ago at this time, the 30-year FRM averaged 7.03%.
- The 15-year FRM averaged 6.03%, up from last week when it averaged 6.01%. A year ago at this time, the 15-year FRM averaged 6.36%.
To read the full report, click here.
