Mortgage rates saw significant improvements in 2025, but will that continue this month? Here's what to know now.

Fannie Mae’s latest housing forecast projected the average 30-year fixed mortgage rates would be 6.2% in the first quarter of 2026 and decline to 5.9% by year-end (2). Despite these projected improvements,

Mortgage rates are the interest rates charged by the mortgage holder, typically a bank, to the borrower, typically a homeowner. Mortgage rates have a significant impact on home prices, monthly mortgage payments, and the health of the overall housing market.

The unemployment rate, according to the most recently released report, jumped to 4.6%, the highest level in years. The next report, set for a January 9 release date, could go a long way toward impacting future Fed rate policy, or it could encourage the bank to keep rates on hold.

The rate on a 30-year fixed refinance slipped to 6.2% today, according to the Mortgage Research Center. Rates averaged 5.26% for a 15-year financed mortgage and 5.98% for a 20-year financed mortgage.

Fox News contributor Katrina Campins joins ‘Fox News Live’ to discuss President Donald Trump’s crackdown on purchases of single-family homes by major investors.

Proposals unveiled this past week aim to give home buyers more purchasing power but don’t address the housing shortage at the root of the affordability crisis.