Freddie Mac's weekly survey put the 30-year fixed-rate mortgage at 7.40% on October 8, up from 7.28% a week earlier and 6.30% a year ago. The 15-year fixed averaged 6.73%, up from 6.60%. For the 30-year, that is the highest weekly reading since November 2023.
Six weeks ago, on August 27, the same survey stood at 6.66%. That is a 74-basis-point climb in six weeks, and it lands on anyone who is shopping, under contract, or waiting to refinance.
On a $400,000, 30-year loan, principal and interest at 6.66% come to $2,570.51 a month. At 7.40% the payment is $2,769.52. That is about $199 more every month, roughly $2,388 a year, and $71,644 more interest over the full term if the loan is never refinanced.
| Freddie Mac 30-year rate | Monthly principal & interest ($400,000) | Total interest over 30 years |
|---|---|---|
| 6.30% (October 9, 2025) | $2,475.89 | $491,321 |
| 6.66% (August 27, 2026) | $2,570.51 | $525,383 |
| 7.28% (October 1, 2026) | $2,736.85 | $585,266 |
| 7.40% (October 8, 2026) | $2,769.52 | $597,027 |
The number that matters: a buyer who can spend $2,500 a month on principal and interest could borrow about $389,000 at 6.66%. At 7.40% the same payment supports about $361,000. That is roughly $28,000 less house, before property tax and insurance are added.
The 15-year averaged 6.73%, 0.67 points below the 30-year. On the same $400,000 the 15-year payment is $3,535.20, which is $766 a month more than the 30-year at 7.40%. Total interest falls from $597,027 to $236,337, a difference of about $360,700. If the bigger payment fits with an emergency fund still intact, that is a lot of interest not paid. If it would drain your cushion, the 30-year with optional extra payments is the safer shape.
The Federal Reserve raised its target range to 3.75%–4.00% on September 16, and the minutes of that meeting, released October 7, say most officials expect one more increase by year end. The minutes also record that Treasury yields rose about 35 basis points across 2- to 10-year maturities between the July and September meetings, and that mortgage rates rose a little more than the 10-year yield. Officials singled out housing as the one sector where financing conditions were not supportive.
Budget at 7.40%, not at the 6.6% of August. Nothing in the Fed's minutes suggests relief before the next meeting on October 27–28, and consumer prices were still up 3.4% over the year in August. If rates do fall later, a refinance can capture part of it; the payment you sign today is the one you have to carry until then.
If you are under contract, ask your lender now what a lock extension would cost if closing slips. If you are still shopping, rerun your price ceiling at today's rate before the next offer. And get more than one quote. Freddie Mac's release this week made the same point: comparing lenders can save borrowers thousands over a loan's life.
Run the numbers at 7.40%. The Mortgage Calculator shows your exact payment, and the Home Affordability Calculator finds the price that fits your budget at today’s rate.
Related tools: Mortgage Calculator · Home Affordability Calculator · Refinance Calculator · 15-Year vs 30-Year Mortgage