Unlock Savings: Today’s Mortgage Refinance Rates for Every State!

If you’re looking to refinance your mortgage, now’s the time to pay attention! As of Monday, the states boasting the most affordable 30-year mortgage refinance rates include the bustling hubs of New York and California, along with sunny Florida, scenic Colorado, charming Connecticut, vibrant Maryland, and breathtaking Washington. These seven states are enjoying refi averages ranging from 6.78% to 7.03%—a pocket of opportunity you won’t want to miss!

On the flip side, if you find yourself in Kentucky, Hawaii, Alaska, Illinois, Georgia, Arizona, Nevada, or New Jersey, brace yourself! These states are seeing the highest refinance rates, averaging between 7.13% and 7.18%. It’s crucial to understand how location impacts your financial decisions.

Remember, mortgage refinance rates don’t just vary by state—they fluctuate based on the lenders and their individual criteria. Factors like your credit score, the average loan amount, and local regulations can play a significant role. Lenders also adopt different risk management strategies, which can lead to varying rates across the board.

With such a diverse range of rates, it’s always a smart move to shop around for the best mortgage option. Comparing rates regularly can save you a significant amount, no matter what kind of home loan you’re pursuing.

National Mortgage Refinance Rate Averages

The national average for 30-year refinance mortgages dipped by 4 basis points on Monday, landing at an average of 7.08%. That’s more than a full percentage point higher than mid-September, when rates fell to their lowest in over two years at 6.01%.

National Averages of Lenders’ Best Mortgage Rates
Loan Type	Refinance Rate Average
30-Year Fixed	7.08%
FHA 30-Year Fixed	6.29%
15-Year Fixed	6.04%
Jumbo 30-Year Fixed	6.78%
5/6 ARM	6.91%
Provided via the Zillow Mortgage API

Curious about how different loan scenarios will affect your monthly payments? Check out our Mortgage Calculator to find out!

What Causes Mortgage Rates to Rise or Fall?

Mortgage rates are influenced by a myriad of macroeconomic and industry factors, including:

• The performance of the bond market, particularly 10-year Treasury yields
• The Federal Reserve’s monetary policy, especially regarding bond purchasing and government-backed mortgage funding
• The competitive landscape among mortgage lenders and different loan types

Given the multitude of factors at play, pinpointing the exact cause of rate changes can be a complex task.

The mortgage market enjoyed relative stability throughout much of 2021, largely due to the Federal Reserve’s aggressive bond-buying in response to the economic impacts of the pandemic. This bond-buying strategy has been a major player in shaping mortgage rates.

However, starting in November 2021, the Fed began to gradually taper these purchases, ultimately ceasing them by March 2022. As rates climbed throughout 2022 and into 2023, the Fed raised the federal funds rate to combat soaring inflation. While this rate doesn’t directly dictate mortgage rates, it can certainly influence them, sometimes in unexpected ways.

After maintaining peak levels for nearly 14 months starting in July 2023, the Fed announced a rate cut of 0.50 percentage points on Sept. 18, followed by quarter-point reductions on Nov. 7 and Dec. 18. Despite these cuts, the Fed’s committee warned that due to persistent inflation, further reductions may be limited, leading to increased 10-year Treasury yields and a subsequent rise in mortgage rates.

How We Track Mortgage Rates

The national and state averages provided here are sourced from the Zillow Mortgage API, based on a loan-to-value (LTV) ratio of 80% (meaning a down payment of at least 20%) and an applicant credit score between 680 and 739. These rates are indicative of what borrowers can expect when seeking quotes from lenders, which may differ from eye-catching teaser rates.