Key mortgage rates showed little movement this week, maintaining pressure on housing affordability as the spring selling season begins. Freddie Mac's latest survey placed the average 30-year fixed-rate mortgage at 6.11%, while the 15-year fixed averaged 5.50%. Daily trackers, including Zillow, reported the 30-year rate at 5.99% as of Sunday.
Refinance Gap Persists
The spread between purchase and refinance rates continues to narrow the financial incentive for homeowners to refinance. Data from Norada Real Estate showed the national average for a 30-year fixed refinance at 6.55% on February 6, significantly higher than prevailing purchase rates. This differential, when combined with closing costs, makes refinancing a challenging proposition for many.
Market stability has been the dominant theme in early 2026, with borrowing costs hovering near the 6% mark throughout the year. This follows the sharp downturn that began in 2022 when rates climbed from historic pandemic lows. Despite some moderation from recent peaks, sales of existing homes remained near multi-decade lows last year, with economists closely monitoring for a sustained downward trend.
Economic Influences and Outlook
Freddie Mac's chief economist, Sam Khater, pointed to "improving affordability and availability of homes" as a positive signal for the upcoming spring market. However, analysts note that mortgage rates are influenced by long-term Treasury yields and investor expectations, not directly set by Federal Reserve policy. Recent data showing a slowdown in hiring contributed to a slight dip in Treasury yields and corresponding mortgage rates late last week.
The market now awaits key inflation and employment reports, which could trigger volatility. A hotter-than-expected economic reading could push bond yields and mortgage rates higher rapidly, adding fresh strain to housing affordability just as seasonal inventory typically increases. Freddie Mac's next weekly survey is scheduled for release on February 12.