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# Refinance Rates by State: March 17, 2025
Are you pondering a mortgage refinance? Here’s a swift overview of how rates are trending across the US as of today.
For the lowest 30-year mortgage refinance rates, pay close attention to California, Colorado, North Carolina, New Jersey, Louisiana, Mississippi, and Rhode Island. These states are observing average rates between 6.85% and 6.94%.
On the opposite end of the spectrum, Missouri, Hawaii, Massachusetts, Kansas, Washington DC, Ohio, Oklahoma, and West Virginia presently have the highest refinance rates, averaging from 7.03% to 7.07% for a 30-year term.
Bear in mind that mortgage refinance rates can fluctuate quite a bit. This is due to elements like credit scores, average loan sizes, and regulations differing from state to state. Furthermore, different lenders have different ways of handling risk, which influences the rates they offer.
**Important Considerations:**
The rates you see advertised online might be “teaser rates.” These are carefully chosen to appear appealing but might require you to pay points upfront or be based on a borrower with a stellar credit score or a smaller-than-average loan. Your actual rate will hinge on your individual financial situation.
## National Average Refinance Rates
Nationally, the average rate for a 30-year refinance mortgage has risen slightly to 6.98%. While this is a bit higher than the four-month low of 6.71% we witnessed last week, it’s still above the two-year low of 6.01% we experienced in September.
**The Bottom Line:**
Looking around and contrasting rates from multiple lenders is always a wise move to guarantee you get the best deal on your mortgage refinance. Intel Shares Surge as New CEO Gelsinger Plans Shake-Up
Employ our home loan estimator to ascertain regular installments across diverse lending circumstances.
## What Elements Trigger Home Loan Percentages to Differ? Robinhood Joins the Prediction Market Space Right Before March Madness
Home loan percentages are impacted by a complicated interaction of macroeconomic and sector strengths, such as:
* The degree and path of the bond marketplace, mainly the 10-year U.S. Treasury return
* The Federal Reserve’s present financial strategy, particularly strategies associated with buying bonds and financing government-supported home loans
* Rivalry among home loan creditors and between various kinds of loans
Because any of these elements can trigger differences concurrently, it is frequently hard to attribute any alteration to any single element.
For the majority of 2021, macroeconomic elements maintained the home loan marketplace at fairly low degrees. In particular, the Federal Reserve has been buying billions of dollars in bonds to deal with the financial stress triggered by the pandemic. This bond-buying strategy is a major impact on home loan percentages.
But beginning in November 2021, the Federal Reserve started to gradually decrease its bond acquisitions, with sharp regular reductions until it reached net zero in March 2022.
Between that time and July 2023, the Federal Reserve actively raised the federal funds rate to fight decades of high inflation. While the federal funds rate impacts home loan percentages, it does not directly impact them. In fact, the federal funds rate and home loan percentages may move in opposite directions.
But given the historic speed and size of the Fed’s rate increases in 2022 and 2023 — raising benchmark rates by 5.25 percentage points in 16 months — even the indirect impact of the federal funds rate has led to a sharp increase in home loan percentages over the past two years.
Starting in July 2023, the Federal Reserve kept the federal funds rate at its peak level for nearly 14 months. But in September, the central bank announced its first rate cut of 0.50 percentage points, followed by cuts of 0.25 percentage points in November and December, respectively.
Nonetheless, during their initial gathering of the annum, the Federal Reserve opted to maintain consistent interest percentages – and the monetary institution might not diminish them once more for numerous months. Considering eight overall percentage selection conferences every annum, this indicates we should witness numerous pronouncements of percentages remaining regular all through 2025.
## The Way We Observe Loan Percentages
The countrywide and kingdom average percentages above are furnished as-is via the Zillow Loan API, assuming a loan-to-value ratio (LTV) of 80% (i.e., at least a 20% preliminary deposit) and that the applicant’s credit score falls among 680–739. The resulting percentages constitute what a borrower have to anticipate while acquiring estimates from creditors primarily based on their qualifications, which may additionally range from advertised percentages. © Zillow, Inc., 2025. Usage is concern to the Zillow Terms of Use.
