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Mortgage rates today after Fed hike: Why US home loan rates may stay above 7%
Mortgage rates today are above 7% after the Fed rate hike. See the latest 30-year and 15-year US mortgage rates and why home loan rates may stay high.
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The Federal Reserve raised its interest rate this week, marking its first rate hike in more than three years. The Fed’s target rate is now 3.75% to 4%. The central bank is trying to control inflation, which has stayed above its 2% target in recent months.
The latest Fed hike could be the start of more rate increases, rather than a one-time move. CBS News said further hikes could come if unemployment stays steady and inflation continues to rise. The Fed’s decision affects both borrowers and savers. Higher rates can increase borrowing costs for loans and credit cards, while people who save money can benefit from higher returns.
Mortgage rates today
Mortgage rates do not move directly with the Fed’s policy rate. However, the Fed’s decisions can influence broader borrowing costs and financial markets, which can affect mortgage rates. Mortgage rates have already moved sharply higher this year.
Deep Dive
Mortgage rates fell by more than 1 percentage point during 2025 after reaching their highest level since 2000 in 2023, according to CBS News. Mortgage rates were also below 6% earlier in 2026. Geopolitical tensions later pushed inflation higher, contributing to a rise in interest rates and mortgage costs.
30-year mortgage rates
Today’s mortgage rates are above 7% for a typical 30-year home loan. The average 30-year mortgage rate is 7.37% as of September 17, 2026. The average 15-year mortgage rate is 6.62%, according to Zillow.
The current 30-year mortgage rate is close to the rate seen after the Fed’s previous rate hike in August 2023. At that time, the average rate was 7.31%, according to figures cited by CBS News.
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Mortgage rates are much higher than they were earlier this year. In March 2026, the average 30-year mortgage rate was 5.75%, according to Zillow. This means the rate has increased by about 1.62 percentage points since March.
The rise in rates means homebuyers now face higher borrowing costs. Monthly mortgage payments can also be higher for people buying a home today. However, the latest Fed rate hike does not mean mortgage rates will rise by the same amount. Mortgage rates also depend on financial markets and investor expectations about future interest rates.
How to get a lower rate
Borrowers may still be able to find a mortgage rate below the current 7.37% average. CBS News said borrowers with a strong credit score, larger down payment and flexibility may be able to secure a lower rate. Borrowers can also consider an adjustable-rate mortgage (ARM) as an alternative to a traditional fixed-rate mortgage. ARMs can have different starting rates and terms, so borrowers need to understand how the rate can change later.
Mortgage points are another way borrowers may be able to reduce their interest rate. Paying points upfront can lower the rate offered by a lender, although the borrower has to pay more at closing. Because rates vary between lenders and borrowers, homebuyers should compare multiple mortgage offers instead of assuming that the national average is the rate they will receive.
Mortgage refinance rates
Refinance rates are also elevated. The average 30-year mortgage refinance rate is 7.41% as of September 17, 2026. The average 15-year refinance rate is 6.75%. Refinance rates have also climbed significantly since March.
In March 2026, the average 30-year refinance rate was 6.47%, while the 15-year rate was 5.48%, according to the data cited by CBS News. With refinance rates now above 7% for 30-year loans, refinancing may not make financial sense for many homeowners, particularly those who already have a much lower mortgage rate.
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A common rule is that refinancing may be worth considering when a homeowner can get a rate about 1 percentage point lower than their existing mortgage rate. But homeowners do not necessarily have to wait for a full 1-point drop. CBS News noted that refinancing could also make sense with a rate about half a percentage point lower, depending on the homeowner’s situation.
The decision depends on factors such as the homeowner’s current mortgage rate, remaining loan balance, monthly budget and refinancing costs. Homeowners also need to consider where they believe rates could move in the near term, although future mortgage rates are uncertain.
What this means after the Fed hike
For buyers, the key issue is that 30-year mortgage rates are currently above 7%, making monthly payments more expensive than they were earlier this year. The Fed’s latest rate hike adds another reason for borrowers to watch interest-rate movements closely, especially if inflation remains high and the central bank considers further rate increases.
However, the Fed hike does not mean every mortgage rate will immediately rise. Mortgage pricing can move based on market expectations and other economic factors. For borrowers who are ready to buy, waiting for rates to fall is not guaranteed to produce a lower rate later. CBS News noted that locking in a mortgage rate can protect a borrower from a potential increase.
At the same time, borrowers should not assume that the current average is their only option. Credit score, down payment, loan type, lender and mortgage points can all affect the rate offered. The current numbers: Zillow puts the average 30-year purchase mortgage at 7.37%, 15-year purchase mortgage at 6.62%, 30-year refinance at 7.41% and 15-year refinance at 6.75% as of September 17, 2026.
The broader takeaway is that US mortgage rates remain considerably higher than they were earlier this year, even after the sharp decline seen during 2025. For buyers and homeowners, the decision to buy, refinance or wait ultimately comes down to their individual finances. Comparing offers and calculating the total monthly and long-term cost can show whether today's higher rates still fit their budget.
