Compare Current Jumbo Mortgage Rates

Current Mortgage Rate Trends

Average mortgage rates currently range from 6.26% to 7.23%, depending on the term and type of loan you get. Government-backed 30-year fixed-rate FHA and VA loans, guaranteed by the Federal Housing Administration and Department of Veterans Affairs, respectively, have lower rates than 30-year fixed rate conventional loans.

Average rates on conventional loans with 15-year terms are nearly a full percentage point lower than on conventional loans with 30-year terms. Thirty-year jumbo loans have slightly lower rates than 30-year conventional loans. The introductory rate on a five-year/six-month adjustable-rate mortgage (ARM) averaged 6.66% in June 2025, according to data from Curinos LLC, lower than 30-year conventional and jumbo loans.

ARMs generally cost less upfront. When the rate resets, however, they'll typically run higher than the fixed rate on a conventional loan, which may end up costing you more in the long run.

^*Source: Curinos LLC, June 6, 2025; assumes a 720 FICO^® Score^Θ, $350,000 mortgage
^**Source: FRED via Optimal Blue, June 6, 2025
Notes: Rates can vary by data source; monthly payment calculation uses APR and assumes a $350,000 mortgage and 20% down; APR calculation assumes 5% in fees

Mortgage Rate Trends for the Last 5 Years

The average 30-year mortgage rate has increased significantly over the last two and a half years after hovering around 3% during much of the pandemic era. In January 2022, the average mortgage rate started climbing steadily and reached levels near 7% at the end of that same year.

In June 2025, the average rate on a 30-year mortgage was more than double the average rate in June 2020, making mortgages less affordable for potential homebuyers.

Here's an example that illustrates the difference between monthly mortgage payments today compared to a few short years ago.

If you take out a 30-year mortgage for $1 million (which would qualify as a jumbo loan in most of the country) at an interest rate of 6.96%, your monthly payment (excluding taxes and insurance) would come to $5,300.95.

If you got that same loan in June 2020 at an interest rate of 3.23% (the average 30-year rate at the time), your monthly mortgage payment (excluding taxes and insurance) would've been $3,472.88. That's a difference of $1,828.07.

30-Year Mortgage Rate Trends 2020 to 2025

What Affects Jumbo Mortgage Rates?

Jumbo mortgage rates are affected by a mix of market and individual factors. One of the key forces influencing mortgage rates is the yield, or interest rate, on the 10-year Treasury note. It's the benchmark rate for mortgages.

The yield is an indicator of investor confidence in the overall economy. When investors expect strong economic growth, demand for Treasury notes often declines as they turn to investment options with higher potential returns. In response, yields increase to attract investors, and mortgage rates follow. When economic growth is weak, investors often turn to safer investments, driving yields down as demand increases. As yields decrease, so do mortgage rates.

However, the 10-year Treasury note isn't the only thing that affects mortgage rates. Individual factors, including credit scores, down payment size and DTI ratio also impact jumbo mortgage rates. Lenders generally offer borrowers with higher credit scores, larger down payments and lower DTIs lower rates because they represent less of a risk. Rates also vary by lender.

Jumbo Mortgage Requirements

Lenders' risk increases when they offer jumbo loans because they can't be sold to Fannie Mae or Freddie Mac, the government-sponsored enterprises that purchase most home loans in the U.S., the way conforming loans can. Because of the added risk, borrowers must meet more stringent lending criteria, including:

• Higher credit scores: Most lenders require credit scores of at least 700 for jumbo loans, and some may have even stricter requirements. You can check your FICO^® Score with Experian for free anytime.
• Bigger down payments: Jumbo loans require larger down payments than other types of mortgages. Most lenders require borrowers to put at least 10% down and some may require down payments of at least 30%.
• More income: Borrowers need to be able to show they have consistent and reliable income to make their loan payments on time each month. Larger loan amounts result in larger monthly payments, and you'll need adequate income to keep up with them.
• Increased cash reserves: Lenders generally require borrowers to have some cash on the sidelines when they apply for a mortgage, but jumbo loan lenders take it up a notch. You may need to have six to 18 months of cash reserves you could tap into in an emergency to qualify for a jumbo loan.
• Lower debt-to-income ratio (DTI): Your DTI compares your monthly debt payments with your monthly income and is expressed as a percentage. Lenders typically want to see a DTI of no more than 43%. Borrowers with lower DTIs may improve their chances of qualifying.

Pros and Cons of a Jumbo Mortgage

If you live in a high-cost area or want to buy a luxury property, you may need a jumbo loan to finance your purchase, but they're not without risk. Here's a quick look at the benefits and drawbacks of taking out this kind of loan.

How to Get the Best Jumbo Mortgage Rate

Taking these steps before applying for a jumbo mortgage can help improve your chances of qualifying for the lowest available rates.

• Shore up your credit. No matter what type of credit you're applying for, people with higher credit scores generally receive lower interest rates. This is also true for jumbo loans where the lender's risk is increased. Take steps to improve your credit if necessary.
• Start saving. Lenders may give borrowers with larger down payments lower rates. Bigger down payments reduce the mortgage's loan-to-value (LTV) ratio, reducing the risk to the lender if the borrower is unable to make their payments.
• Pay down debt. Your DTI is one of the factors lenders review when making a loan decision because it indicates whether you have the capacity to take on more debt. Lenders generally view borrowers with lower DTIs as less risky and may offer them a lower rate, as a result.
• Ask for a raise. Jumbo loan payments tend to be larger than conforming loan payments because of the loan size. Having enough income to comfortably repay what you borrow is crucial. A higher income may reassure your lender that you'll be able to make your payments and reduce your DTI, which might help you qualify for a lower rate.
• Shop around. Rates often vary by financial institution. Comparing quotes from multiple lenders is one of the simplest ways to ensure you get the lowest rate for which you can qualify.
• Consider discount points. Buyers may purchase mortgage points to get a lower interest rate on their loan. One point will usually cost you 1% of the loan amount and reduce your interest rate by up to 0.25%. Because jumbo loan balances are so high, even a small difference in your interest rate can save you thousands or even tens of thousands of dollars in interest throughout your loan term.

Should I Get a Jumbo Loan?

While you should never borrow more than you can afford to repay, in some high-cost areas, a jumbo loan may be your best financing option. Whether a jumbo loan is right for you depends on multiple factors, including your comfort level with such a large mortgage, income, down payment amount, the interest rate you can qualify for and more.

Understanding the current rate landscape can help you determine how much you can afford to borrow and estimate your monthly mortgage payment. Don't forget to include the cost of taxes and homeowners insurance in your budget and leave some wiggle room for life's inevitable surprises.

Before applying, review your credit reports to ensure the information from all three consumer credit bureaus (Experian, TransUnion and Equifax) is accurate. You can check your reports for free once a week at AnnualCreditReport.com. Also consider credit monitoring from Experian to get alerts when your Experian credit report changes and track your progress over time.