Compare Todays 10-Year Mortgage Rates
National Average Mortgage Rates
Rates data is based on a borrower with good credit, a conforming loan amount (at least $200,000 but less than the national conforming loan amount), and a loan-to-value ratio of less than 80% (For purchase loans, this corresponds to a down payment of 20% or more). © Zillow, Inc., 2006-2016. Use is subject to Terms of Use
U.S. News Expert Insights, Week Ending July 15
Mortgage Rates Surge to Yearly Highs
“The average 30-year fixed mortgage rate is now hovering around 6.75%, compelling summer homebuyers to recalculate their purchase budgets. With mortgage rates now at their highest levels in about a year, and geopolitical uncertainty bleeding into the economy, prospective buyers may not feel motivated to jump into the market.
“New data substantiates this sense of unease as higher borrowing costs weigh on the housing sector. Mortgage applications have waned in recent weeks alongside rising rates, according to the Mortgage Bankers Association. Pending home sales decreased by 5.4% in June, per the National Association of Realtors.
“Today’s high mortgage rates are a result of the resurgence of the U.S. war in Iran. The Middle East conflict has led to higher oil prices, fueling inflation throughout the economy. Mortgage interest rates, which follow 10-year Treasury yields, are highly sensitive to price changes. The bottom line: mortgage rates will stay high due to the inflationary pressures of the war.”
– Erika Giovanetti, U.S. News Consumer Lending Analyst
Average Mortgage Rates, Daily
Product |
Interest Rate |
APR |
|---|---|---|
|
10 Year Fixed |
5.955% |
6.017% |
|
10 Year Fixed Refinance |
6.029% |
6.05% |
|
10 Year Fixed Jumbo |
6.562% |
6.569% |
|
10 Year Fixed Jumbo Refinance |
6% |
6% |
Rates data is based on a borrower with good credit, a conforming loan amount (at least $200,000 but less than the national conforming loan amount), and a loan-to-value ratio of less than 80% (For purchase loans, this corresponds to a down payment of 20% or more). © Zillow, Inc., 2006-2016. Use is subject to Terms of Use
It’s difficult to predict future mortgage rate trends, especially in times of heightened economic uncertainty. To understand where 10-year mortgage rates are headed, look at the forecast for 15-year and 30-year mortgage rates. Ten-year mortgage rates usually follow other long-term mortgage rates.
Throughout 2025 and 2026, many economists expect mortgage rates to decline somewhat. However, rates aren’t expected to return to record lows observed in 2020 and 2021. The typical 10-year mortgage rate may come down by as much as half a point by the beginning of 2026. However, the forecast is far from guaranteed as economic policy remains volatile under the Trump administration.
Compared with 30-year mortgage rates, 10-year rates are usually lower because the shorter repayment term lessens the risk to the lender. However, 10-year mortgage rates can sometimes be about the same as 15-year rates since this repayment length is less typical and is offered by fewer lenders. In other words, less competition means less competitive pricing.
Many homebuyers choose 15-year fixed mortgages to pay off their homes faster and get a lower interest rate. But that’s not the only option for accelerating your mortgage. A 10-year fixed loan can save you even more – if you can afford the payment.
“A borrower who is prudent about their debt usage, doesn’t have any other debt at all and (is) looking to lower their interest cost by accelerating their principal payments might find the 10-year loan appealing,” says Matt Ricci, home loan specialist with national lender Churchill Mortgage.
When deciding whether a 10-year mortgage is right for you, you’ll want to look carefully at the interest savings, compare the payoff schedule with other loan types and really think carefully about what you can afford to pay monthly.
“A 10-year mortgage tends to come with lower mortgage rates than comparable 15- and 30-year mortgages, but because the payback period is compressed into a smaller time frame, the monthly payments are markedly higher,” says Dan Green, CEO of Homebuyer.com, a mortgage company for first-time homebuyers.
A mortgage calculator can help demonstrate how a $350,000 mortgage would play out over the first five years of a 10-year, 15-year and 30-year term.
In this example, you can see how a 10-year term (and even a 15-year mortgage) can help you save money on interest and build equity faster when compared with the traditional 30-year fixed loan. However, you’ll also notice the monthly payment is significantly higher as you decrease the number of years in the loan term.
While the 10-year mortgage can look like a terrific option on paper, the high monthly payments may not fit into every homebuyer’s budget. It’s safer for most borrowers to choose a longer-term loan and voluntarily make higher payments to speed up the payoff and save on interest.
| 10-Year Mortgage | 15-Year Mortgage | 30-Year Mortgage | |
| Interest Rate | 5.25% | 5.5% | 6.5% |
| Monthly P&I Payment | $3,755 | $2,860 | $2,212 |
| Interest Paid in 5 Years | $73,101 | $85,099 | $110,373 |
| Equity Built in 5 Years | $152,211 | $86,489 | $22,362 |
| Lifetime Interest | $100,625 | $164,763 | $446,406 |
Pros
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The loan allows for a lower interest rate and less overall interest owed on the debt.
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You’ll build equity much faster than you would with a longer-term loan
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You’ll become a debt-free homeowner much quicker, which may appeal to older buyers approaching retirement.
Cons
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It requires a principal payment much greater than what longer term loans ask for.
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You’ll have less cash for other financial goals, like retirement savings or building an emergency fund.
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Higher payments will make it harder to qualify from a debt-to-income ratio standpoint.
Refinancing is when you take out a new mortgage to pay off your existing mortgage. Typically, people do this when they can qualify for better terms or a lower interest rate.
Moving from a 30-year mortgage to a 10-year loan could save you lots of money in interest over time, but your monthly payments will likely skyrocket and closing costs will be added to the loan. If doing so gets you a significantly lower interest rate, that could help offset some of the monthly increase and make it worthwhile, but you’ll have to crunch the numbers.
Here are some of the key considerations:
- How long have you been repaying your current loan? Let’s say you have 25 years remaining on your original 30-year mortgage. In this case, a 10-year mortgage refinance would cause your monthly payments to jump significantly. If you only have 10 years remaining on your mortgage, however, refinancing to a new 10-year mortgage with a better rate would actually lower your monthly payments.
- Can you afford the new monthly payments? According to the 28/36 rule used by mortgage lenders, you should spend no more than 28% of your gross monthly income on housing expenses – which includes mortgage principal and interest payments as well as escrow costs like property taxes and homeowners insurance.
- What are the potential closing costs? Refinancing typically costs 2% to 6% of the loan amount. You’ll have to do some math to find your break-even point, which is how long it will take for your interest savings to offset the closing costs you paid.
- What interest rate can you qualify for? You might qualify for a lower mortgage interest rate if your finances have improved or your home value has increased since you took out your original mortgage. If you can get a lower interest rate when you refinance, the savings would be more substantial and the monthly payment increase wouldn’t be as significant if you’re shortening the loan term.
Using a mortgage refinance calculator and working with a financial advisor when weighing your options can help you make the best choice.
Unlike 30-year and 15-year mortgages, the 10-year loan may not be available everywhere, says Ricci. He recommends getting quotes from at least five or six lenders that specialize in that product and will aggressively price it. “You have to make sure you shop around enough to get a 10-year loan providing you the most amount of benefit,” he says.
When you’re ready to choose a lender, get loan estimates from your top choices. Your loan estimate will include information like the mortgage rate, closing costs, application fees and prepayment penalties. You’ll also find the loan’s annual percentage rate, or APR, which is more holistic measure of the cost of repaying a loan than the interest rate alone.
From there, do your due diligence as you would with any mortgage, including reading lender reviews.
There are a few other options if you’re hoping to pay off your mortgage faster than with a traditional 30-year term:
- 10/1 adjustable-rate mortgage. A 10/1 adjustable-rate mortgage, or ARM, offers a fixed rate for 10 years but switches to a variable rate for the remaining 20 years. The benefit is that you can often get a very competitive fixed rate to start, and it allows for a minimum payment that’s based on a 30-year schedule, says Ricci. If you are able to make aggressive payments and complete the loan in 10 years, you can save a ton. Meanwhile, the smaller payment requirement is available in case you have a temporary cash-flow issue. Once the variable rate kicks in, however, it can become risky and can raise your payment obligation.
- 15-year loan. “When our homebuyers want to use a 10-year mortgage, I usually recommend that they use a 15-year mortgage instead,” says Green. If they pay an extra 30% or so each month, they can still pay off the mortgage in 10 years, he adds. “But if they fall ill, lose their job or face an unexpected financial calamity, the homeowner can find relief by reverting back to those smaller 15-year fixed-rate mortgage payments.”
- Biweekly mortgage payments. There’s a reason why the 30-year fixed mortgage is the most popular loan term – it’s because monthly payments are lower. You can reduce the number of years and the interest you pay by making extra principal payments. One easy way to do that is to switch to paying biweekly, which takes your monthly payment and cuts it in half every two weeks. Because you’ll make 26 payments per year, you’ll be making the equivalent of an extra month’s payment each year.
Like with all mortgages, 10-year loan rates are determined by a number of economic factors and each lender’s methodology. This can include the bond market, inflation, the housing market and the federal funds rate.
Specialized programs like a 10-year mortgage are also heavily dependent on supply and demand for the product, says Ricci. “In an environment where you have rapidly rising interest rates, you will see a large increase in the number of consumers executing a mortgage over a longer term due to the affordability. This leads to a demand problem for shorter mortgage terms and can lead to an inversion in interest rates for 10-year products in comparison to that of a 30-year mortgage,” he explains.
You can pay off your mortgage early with most lenders, but you should inquire whether there are prepayment penalties. Some lenders may charge you a fee if you try to pay off the loan in full within the first three to five years after origination.
A fixed-rate mortgage locks in your interest rate for the life of the loan so that you have the same payment amount in the first month as you do for your final payment. An adjustable-rate mortgage typically begins with a fixed, usually competitive, rate for a set amount of time, such as five, seven or 10 years. After that period, the loan switches to an adjustable rate that fluctuates each year going forward.
