Mortgage rates rise as 2025 predictions shift amid strong economy

Mortgage rates today average around 6.60%, up from 6.24% in October. Predictions for 2025 have changed, with expectations of rates dropping to 6.30% or 6.40% instead of the previously anticipated 5% range due to strong economic data. The Federal Reserve recently cut rates, but this has not significantly impacted mortgage rates. Current 15-year mortgage rates are about 6%, up from 5.56% last month. Refinance rates have also increased, with 30-year refinance rates averaging 6.35%. Factors influencing mortgage rates include economic trends and Federal Reserve policies. While rates may ease over the next year, they are unlikely to return to the historic lows seen in 2020 and 2021.