October 2026
The average 30-year fixed-rate mortgage was 7.40% for the week ending October 15, 2026, according to Freddie Mac — unchanged from the week before and the highest level in about three years. A year ago the same loan averaged 6.27%. The 15-year fixed averaged 6.71%.
Why rates are climbing: inflation has picked back up (September consumer prices rose 3.7% over the past year), and many economists now expect the Federal Reserve may raise its rate again by December. Mortgage rates follow the 10-year Treasury yield closely, which has been trading around 5%.
What it means for your payment: on a $600,000 loan, the jump from about 6.27% to 7.40% adds roughly $450 a month in principal and interest. In higher-priced coastal counties the difference is even larger, so getting a fresh pre-approval at today's rates is the first step.
Moves that still work in a rising-rate market: - Ask for seller credits. With fewer buyers competing, many sellers — especially in Riverside, San Bernardino and Kern counties — will contribute toward closing costs or a rate buydown. - Consider a temporary or permanent buydown. A 2-1 buydown lowers the rate for the first two years; paying points lowers it for the life of the loan. - Compare adjustable-rate options carefully. A 7- or 10-year ARM can start lower, but plan for what happens when it adjusts. - Lock strategically. Talk with your lender about a rate lock with a float-down option. - Remember you can refinance later. You can change your rate in the future; you cannot change the price you paid.
Rates are national averages for well-qualified borrowers with 20% down; your own rate depends on credit, loan type and down payment. Schedule a consult and I will connect you with trusted local lenders to run your real numbers.