30-Year Mortgage Rate Hits 6.58%, Highest Since August 2025

The average rate for a 30-year fixed mortgage reached 6.58% for the week ending July 23, an increase of 3 basis points from the previous week's 6.55%, according to Freddie Mac. This figure represents the highest average rate observed since early August 2025. The rising interest rates coincide with an increase in median home prices, which have now reached $430,000. Despite these upward trends, current borrowing costs remain slightly more favorable than they were in the same period of 2025, when rates averaged 6.74%.

For a homebuyer purchasing the median-priced home of $430,000 with a 20% down payment, the loan amount stands at $344,000. At the current 6.58% interest rate, the monthly principal and interest payment is approximately $2,192. This is a $9 increase from the prior week's payment of $2,183. Compared to a rate of 6.74% in July 2025, which would have resulted in a monthly payment of $2,229 for the same home price, today's buyers are saving about $37 per month.

Homebuyers utilizing FHA loans with a 3.5% down payment are also experiencing increased monthly costs. For a $430,000 home, an FHA borrower would finance approximately $414,950. With the current 6.58% rate, the monthly principal and interest payment is about $2,645, a $12 rise from last week's $2,633. When compared to the 6.74% rates in July 2025, where the monthly payment for this loan amount was $2,689, FHA borrowers today are saving approximately $44 monthly. These calculations exclude property taxes, homeowners insurance, and mortgage insurance.