November 17, 2022 Mortgage Rates Update: 30-Year Loans at 6.78%, Trends & Insights

Mortgage rates showed mixed movements on November 17, 2022, with slight fluctuations across various loan products. The 30-year fixed mortgage rate inched up marginally to 6.78% after recently hitting its lowest point since mid-September.

Current National Mortgage Rate Averages

The average 30-year mortgage rate remained comfortably below 7%, rising by four basis points from 6.74% the previous day. Despite this modest uptick, it remains 0.8 percentage points below October’s two-decade high of 7.58%. Similarly, 15-year fixed rates climbed to 6.23%, recovering from a peak of 7.03% last October—the highest since 2007.

Jumbo 30-year loan rates declined slightly for the second consecutive day, now averaging 5.77%, which is 0.5 percentage points below their recent 12-year peak of 6.27%.

Refinancing rates also shifted: 30-year and 15-year refinance averages increased by eight and ten basis points respectively, while the Jumbo 30-year refinance rate decreased by an eighth of a point. Refinancing costs currently exceed new purchase rates by up to 49 basis points for fixed-rate loans.

Following a historic drop in August 2021, mortgage rates surged dramatically in the first half of 2022. The 30-year average peaked at 6.38% in mid-June, nearly 3.5 percentage points higher than the summer 2021 low of 2.89%. This fall's rate spike has surpassed that peak, with late October averages reaching 1.2 percentage points above June’s high.

Important Note

Displayed mortgage rates reflect national averages and may differ from advertised teaser rates, which often require upfront points or assume ideal borrower profiles with excellent credit scores and smaller loan amounts relative to home value.

Use our Mortgage Calculator to estimate monthly payments under various loan scenarios.

Factors Influencing Mortgage Rate Changes

Mortgage rates are influenced by a complex mix of macroeconomic and industry factors, including 10-year Treasury yields, Federal Reserve monetary policies, and lender competition. Since multiple factors interact simultaneously, pinpointing a single cause for rate changes is challenging.

This year, macroeconomic conditions have helped keep rates relatively low. The Federal Reserve's ongoing bond-buying programs, designed to mitigate pandemic-related economic impacts, play a significant role in shaping mortgage rates, often more so than the federal funds rate.

Since June, the Fed has been actively reducing its balance sheet with monthly sizable cuts, accelerating in September, alongside tapering new bond purchases starting November.

The Federal Open Market Committee (FOMC) meets roughly every six to eight weeks to review monetary policy, with the next meeting scheduled for November 1-2.

Data Methodology

National average mortgage rates are calculated from the lowest rates offered by over 200 top lenders nationwide, assuming an 80% loan-to-value (LTV) ratio and a borrower credit score between 700 and 760. These averages represent realistic expectations for qualified applicants, differing from promotional teaser rates.

State-level best rates are based on the lowest current rates offered by surveyed lenders under the same assumptions.

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