Mortgage rates moved mostly higher on Friday, September 18, 2026, according to data from the Zillow lender marketplace, a shift that follows the first Federal Reserve rate increase in three years. Mortgage rates do not move in lockstep with Federal Reserve decisions: lenders price home loans off bond market conditions, incoming economic data, and expectations for monetary policy, so day-to-day rate moves can diverge from the central bank's actions.

The average rate on a 30-year fixed mortgage now stands at 7.05%, up 4 basis points from Thursday. The 15-year fixed rate moved in the opposite direction, slipping 1 basis point to 6.43%. The 5/1 adjustable-rate mortgage (ARM) rose 6 basis points to 7.16%. A basis point is one-hundredth of a percentage point, so the 30-year fixed's four-point climb represents 0.04 percentage point increase. Notably, the 5/1 ARM average now sits above the 30-year fixed, erasing the initial-rate advantage that adjustable loans have traditionally held over the benchmark fixed mortgage in Zillow's data.

Current Mortgage Rates

According to the latest Zillow data, the following are the average purchase rates for Friday, September 18, 2026:

These figures are national averages and have been rounded to the nearest hundredth of a percentage point. Because the rate directly shapes the monthly payment, the spread between loan types matters: today's 15-year fixed sits 62 basis points below the 30-year fixed, the kind of gap borrowers weigh when deciding whether a shorter term's higher payments are worth the long-run interest savings.

Current Mortgage Refinance Rates

The latest Zillow data shows the following average refinance rates for Friday, September 18, 2026:

As with purchase rates, these numbers are national averages rounded to the nearest hundredth. Refinance rates are often higher than the rates offered to home buyers, although that is not always the case. Because a refinance replaces an existing loan, the decision typically hinges on how current offers stack up against the rate a homeowner already has, and on whether the monthly savings can recoup closing costs within the time the homeowner expects to keep the loan.

How Mortgage Interest Rates Work

A mortgage interest rate is the fee a lender charges for borrowing money, expressed as a percentage of the loan. Borrowers can choose between two broad categories of rates: fixed and adjustable.

A fixed-rate mortgage locks in the interest rate for the entire life of the loan. For example, a borrower who obtains a 30-year mortgage at a 6% interest rate will pay that same rate for the full 30-year term unless they refinance the loan or sell the home.

An adjustable-rate mortgage, by contrast, holds the rate steady for a predetermined introductory period and then adjusts it at regular intervals. Consider a 7/1 ARM with an introductory rate of 6%: the rate would remain fixed at 6% for the first seven years, and would then rise or fall once per year over the remaining 23 years of the term. Which direction the rate moves depends on several factors, including the state of the economy and the housing market.

Because the mortgage rate plays a large role in determining the monthly payment, borrowers can use a mortgage payment calculator to see how the loan amount, rate, and term length affect what they will pay each month.

Early in a mortgage term, the majority of each monthly payment goes toward interest. While the portion of the payment covering principal and interest stays the same throughout the life of the loan, the share directed to interest steadily shrinks over time, and an increasing amount goes toward the principal — the amount originally borrowed.

Which Mortgage Term Length Should You Choose?

A 30-year fixed-rate mortgage is generally a good fit for borrowers who want a lower monthly payment and the predictability that comes with a fixed rate. The trade-offs are a higher interest rate than shorter terms carry and significantly more interest paid over the years.

A 15-year fixed-rate mortgage may be worth considering for borrowers aiming to pay off their home loan quickly and save on interest. These shorter terms come with lower interest rates, and cutting the repayment period in half produces substantial interest savings over the long run. The catch is the higher monthly payment, so borrowers need to be confident they can comfortably afford it.

An adjustable-rate mortgage is typically most suitable for borrowers who plan to sell before the introductory rate period ends. Adjustable rates usually start lower than fixed rates before changing after a predetermined period. Recently, however, 5/1 and 7/1 ARM rates have been similar to — or even higher than — 30-year fixed rates. Before choosing an ARM simply for a lower rate, borrowers should compare their options from term to term and lender to lender.

Are Mortgage Rates Decreasing?

For the most part, rates are rising. The average 30-year fixed rate today, Friday, September 18, 2026, is 7.05%, up 4 basis points since yesterday. The 15-year fixed rate sits at 6.43%, 1 basis point lower than yesterday. The 5/1 ARM is at 7.16%, up 6 basis points from Thursday.

Today's 30-year average also sits above the full-year ranges projected for 2026 by the Mortgage Bankers Association (6.6% to 6.7%) and Fannie Mae (6.7% to 6.8%), though those figures describe averages through the end of the year rather than any single day's reading.

Mortgage Interest Rates Today: FAQs

What are mortgage interest rates doing today?

According to Freddie Mac, the average 30-year mortgage rate was 6.95% through Wednesday, up from 6.76% a week earlier. A year ago, the average 30-year mortgage rate 6.26%. Freddie Mac's weekly survey and Zillow's daily lender marketplace figures come from different sources, so their levels often differ even when both point in the same direction.

How low will mortgage rates go in 2026?

According to the latest forecasts, the Mortgage Bankers Association (MBA) expects the 30-year mortgage rate to average between 6.6% and 6.7% through the rest of 2026. Fannie Mae predicts a 30-year rate between 6.7% and 6.8% through the end of the year. These are projections rather than guarantees, and both organizations typically revise their outlooks as new economic data arrives.

How low could mortgage rates go by 2027?

Mortgage rates are likely to remain little changed in 2027. The MBA forecasts 30-year fixed rates of 6.7% for all of 2027, while Fannie Mae predicts average rates will be between 6.7% and 6.8% throughout the year.

Is refinancing activity increasing?

Mortgage rates are down more than half a percentage point since the end of last May, a decline that has fueled a more than 62% year-over-year increase in refinance applications, according to the report. The jump underscores how closely refinance volume tracks the gap between the rates homeowners currently hold and the offers available in the market.

What is the housing market outlook?

The housing market outlook for next year includes marginally lower mortgage rates and cooling home prices. As with the rate forecasts above, these outlooks are typically revised as new data arrives, making updated projections and weekly rate surveys the figures to watch in the months ahead.

Source: Yahoo Finance