Will Interest Rates Go Down in June? | Predictions 2026

Mortgage rate forecast for next week (Jun 8 - 12)

Mortgage rates fell following two straight weeks of growth.

The average 30-year fixed rate mortgage (FRM) declined to 6.48% on June 4, 2026 from 6.53% the prior week, according to Freddie Mac.

The 30-year fixed-rate mortgage decreased to 6.48% this week. With mortgage rates in the mid-6% range and income growth outpacing home price growth, housing affordability is marginally improving.

The latest borrowing activity

Though lagging, the most recent weekly mortgage application report from the Mortgage Bankers Association showed a seasonally adjusted 0.8% decrease for the seven days ending March 27. The refinance index fell 3% week-over-week while standing 4% lower from a year ago. The purchase index rose 1% weekly but came down 7% year-over-year.

“Outside of Fed policy, the U.S.-Iran War will remain in focus. The longer the conflict takes to resolve, the longer the expectation of higher inflation will remain. Higher energy prices resulting from a closed Strait of Hormuz will keep US inflation higher than hoped. Higher inflation generally means higher mortgage rates.” says Charles Goodwin, VP and Head of Bridge and DSCR Lending at Kiavi

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In this article (Skip to...)

• Will rates go down in June?
• 90-day forecast
• Expert rate predictions
• Mortgage rate trends
• Rates by loan type
• Mortgage strategies for June
• Mortgage rates FAQ

Will mortgage rates go down in June?

Mortgage rates enter June holding steady near 6.53%, after a stretch of small week-to-week moves. The 30-year fixed has stayed within roughly a tenth of a point over the past month.

- Dave Meyer, Chief Investment Officer at BiggerPockets

Two inflation reports will shape the June picture: the Consumer Price Index release on June 11 and the Personal Consumption Expenditures release on June 26. Between them, the Federal Reserve holds its FOMC meeting on June 16-17, 2026, where it will decide whether to adjust the federal funds rate after holding steady on April 29, 2026.

Mortgage rates do not move on the federal funds rate directly, but the Fed’s policy signaling influences the bond market that drives mortgage pricing. A surprise shift in tone at the June meeting could push rates in either direction.

Absent that kind of surprise, rates look likely to stay flat to modestly lower through June. That qualitative outlook is broadly consistent with the housing authorities’ Q2 2026 quarterly-average forecast of 6.350%, though that figure is a quarterly average rather than a June-specific projection.

Expert mortgage rate predictions for June

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Mortgage interest rates forecast next 90 days

The Federal Reserve held the federal funds rate steady at its April 29, 2026 meeting. Its next decision comes at the FOMC meeting on June 16-17, 2026, which falls inside the 90-day window.

Inflation data will set the table for that decision. The Consumer Price Index, released by the Bureau of Labor Statistics on June 11, arrives just before the meeting, and the Personal Consumption Expenditures report from the Bureau of Economic Analysis follows on June 26.

Borrowers should watch how those two reports land. A cooler-than-expected CPI on June 11 could ease pressure on bond yields, while a hotter reading could lift them. The PCE release on June 26 will give the next signal on inflation’s trajectory after the Fed meets.

Mortgage rate predictions for June 2026

Two major housing authorities publish quarterly rate forecasts. For Q2 2026, Fannie Mae projects 6.30% and the Mortgage Bankers Association projects 6.40%, for an average of 6.350%.

These are Q2 2026 quarterly-average forecasts, not June monthly figures. The average of 6.350% sits just below the current 6.53% reading, consistent with a flat-to-slightly-lower path.

Current mortgage interest rate trends

As of June 4, 2026, Freddie Mac’s weekly survey shows the average 30-year fixed mortgage declined to 6.48%.

The average 30-year fixed rate decreased to 6.48% on Jun. 4 from 6.53% on May. 28. Meanwhile, the average 15-year fixed mortgage rate dipped to 5.79% from 5.87%.

Source: Freddie Mac

After hitting record-low territory in 2020 and 2021, mortgage rates climbed to a 23-year high in 2023 before descending over 2024 and 2025. Many experts and industry authorities believe they will follow a downward trajectory in 2026. Whatever happens, interest rates are still below historical averages.

Dating back to April 1971, the fixed 30-year interest rate averaged around 7.8%, according to Freddie Mac. So if you haven’t locked a rate yet, don’t lose too much sleep over it. You can still get a good deal, historically speaking — especially if you’re a borrower with strong credit.

Just make sure you shop around to find the best lender and lowest rate for your unique situation.

Mortgage rate forecast by loan type

Loan-type trends were mixed this week, with 30-year fixed at 6.48% and 15-year fixed at 5.79%.

Which mortgage loan is best?

The best mortgage for you depends on your financial situation and your goals.

For instance, if you want to buy a high-priced home and you have great credit, a jumbo loan is your best bet. Jumbo mortgages allow loan amounts above conforming loan limits, which max out at $832,750 in most parts of the U.S.

On the other hand, if you’re a veteran or service member, a VA loan is almost always the right choice. VA loans are backed by the U.S. Department of Veterans Affairs. They provide ultra-low rates and never charge private mortgage insurance (PMI). But you need an eligible service history to qualify.

Conforming loans and FHA loans (those backed by the Federal Housing Administration) are great low-down-payment options.

Conforming loans allow as little as 3% down with FICO scores starting at 620. FHA loans are even more lenient about credit; home buyers can often qualify with a score of 580 or higher, and a less-than-perfect credit history might not disqualify you.

Finally, consider a USDA loan if you want to buy or refinance real estate in a rural area. USDA loans have below-market rates — similar to VA — and reduced mortgage insurance costs. The catch? You need to live in a ‘rural’ area and have moderate or low income to be USDA-eligible.

Mortgage rate strategies for June 2026

With the 30-year fixed near 6.53% and rates holding stable, June presents a steady backdrop for borrowers rather than a volatile one. The June FOMC meeting and inflation reports could nudge rates, but the housing authorities’ Q2 outlook points to flat-to-slightly-lower pricing.

That stability gives buyers and refinancers time to plan rather than rush. Still, rates can move quickly around data releases like the June 11 CPI and June 26 PCE reports.

The strategies below can help you respond to whatever the June data brings.

A rate lock protects your quoted rate for a set period while you close. With rates near 6.53% and limited week-to-week movement, locking removes the risk of a sudden jump around the June 16-17 FOMC meeting.

Rate lock strategy

If you are comfortable with the payment at today’s rate, locking can make sense. Ask your lender about float-down options in case rates fall after you lock.

Refinancing makes sense when the new rate and terms save you enough to justify the closing costs. Calculate your break-even point by dividing those costs by your monthly savings.

If your current rate is well above 6.53%, run the numbers now. If it is close to or below today’s average, waiting for a clearer move may serve you better.

Buyers benefit from getting preapproved before shopping, which clarifies your budget and strengthens your offers. Slower price growth in some markets may give you more room to negotiate.

Focus on the total monthly payment, not just the rate. Property taxes, insurance, and any mortgage insurance all factor into what you can afford.

Refinance timing

Your credit profile directly affects the rate a lender offers. Improving your score before you apply can lower your rate and your monthly payment.

Lender business needs also play a role in pricing, as Bankrate’s Andrew Dehan notes, so shopping multiple lenders matters. Practical steps include:

Pay down credit card balances to lower your utilization | Avoid opening new credit lines before applying | Check your credit reports for errors and dispute them | Make all payments on time in the months before you apply

Even a small improvement in your score can move you into a better pricing tier. Give yourself a few months of lead time when possible.

Home buying strategy

Gather your income and asset documents early so you can act quickly once you find a rate you like. Preparation lets you lock when the timing fits.

Comparing at least three lenders remains one of the most reliable ways to secure a competitive rate.

• Your credit score and credit history
• Your personal finances
• Your down payment (if buying a home)
• Your home equity (if refinancing)
• Your loan-to-value ratio (LTV)
• Your debt-to-income ratio (DTI)

To figure out what rate a lender can offer you based on those factors, you have to fill out a loan application. Lenders will check your credit and verify your income and debts, then give you a ‘real’ rate quote based on your financial situation.

You should get three to five of these quotes at a minimum, then compare them to find the best offer. Look for the lowest rate, but also pay attention to your annual percentage rate (APR), estimated closing costs, and ‘discount points’ — extra fees charged upfront to lower your rate.

This might sound like a lot of work. But you can shop for mortgage rates in under a day if you put your mind to it. And shaving just a few basis points off your rate can save you thousands.

Mortgage interest rate FAQ

What are today’s mortgage rates?

Mortgage rates are rising, but borrowers can almost always find a better deal by shopping around. Connect with a mortgage lender to find out exactly what rate you qualify for.

¹Today's mortgage rates are based on a daily survey of select lending partners of The Mortgage Reports. Interest rates shown here assume a credit score of 740. See our full loan assumptions here.

Selected sources:

• https://www.federalreserve.gov/monetarypolicy/fomccalendars.htm
• http://www.freddiemac.com/research/datasets/refinance-stats/index.page