Mortgage rates are hovering around 7.2% following the Federal Reserve's first interest rate hike in three years. The latest move is a bit of relief following a bruising few weeks in which they reached as high as 7.24%, the highest levels since early 2025, according to Mortgage News Daily. The Fed doesn't directly control mortgage rates, and by the time the central bank voted toraise benchmark rates by 25 basis pointson Wednesday, mortgage rates had already moved higher in anticipation of that hike.
The 10-year Treasury yield, which mortgage rates closely track, dropped 6 basis points to 4.94% on Thursday as investors grew confident that the Fed was kicking off a new rate-hiking cycle to address persistently high inflation. Fed hikes normally aren't good news for the housing market or the bond market, but the latest move may be an exception. Wednesday's rate hike "is the medicine the housing market needs to recover," Zillow chief economist Mischa Fisher said in a statement.
"Greater market confidence in inflation being under control is more likely to bring mortgage rates lower in 2027 and get the recovery back on track." Freddie Mac, which conducts a weekly survey of mortgage rates, said rates averaged 6.95% in the week through Wednesday, a steep jump from 6.76% a week earlier that reflects rising bond yields before the Fed's latest hike. **_Read more:_**_Discover the best mortgage refinance lenders_ Here are the current purchase mortgage rates for today, **Thursday, September 17, 2026**, according to the latest Zillow data: Remember, these are the national averages and rounded to the nearest hundredth. _Here are 8 strategies for getting the lowest mortgage rate possible._ Here are the current refinance mortgage rates for today, **Thursday, September 17, 2026**, according to the latest Zillow data: As with mortgage rates for purchase, these are national averages that we've rounded to the nearest hundredth. Refinance rates can be higher than purchase mortgage rates, but that isn't always the case. Use the mortgage calculator below to see how various mortgage rates will impact your monthly payments.
Down Payment: This is the part of your home's purchase price that you pay upfront, not covered by your loan. The amount you pay as a down payment can influence your mortgage interest rate. Generally, larger down payments result in lower interest rates, as lenders see these as a sign of strong financial commitment.
Loan Term: This refers to the duration over which you will repay your loan, typically measured in years. Opting for a longer loan term can reduce your monthly payments by spreading them out over a greater number of years, whereas shorter loan terms generally lead to higher monthly payments. Interest Rate: This is the annual cost you incur for borrowing money, expressed as a percentage of the loan amount.
It represents the fee you pay each year to the lender for your loan. Data is provided as-is via the Zillow Mortgage API © Zillow, Inc., 2024. Use is subject to the Zillow Terms of Use.
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