Summary
Mortgage rates in the U.S. did not drop as much as hoped in 2025, staying around 6.22%. Experts predict that mortgage rates will remain slightly above 6% in 2026, with small reductions expected, but without significantly boosting housing affordability.
Key Facts
- As of December 11, 2025, the average 30-year fixed mortgage rate was 6.22%.
- Mortgage rates peaked at 7.79% in October 2023.
- Rates increased in 2022 due to the Federal Reserve raising interest rates to control inflation.
- The Federal Reserve cut rates three times in late 2025, but they still impact mortgage rates.
- The unemployment rate rose to 4.6% in November 2025.
- Experts believe mortgage rates will stay around 6%, with little change in 2026.
- Some forecasts suggest a slight decrease in rates to about 6.15% by the end of 2026.
- Housing affordability may not improve significantly due to limited inventory and ongoing economic uncertainties.
