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Mortgage Interest Rates Forecast

Mortgage rates declined this week, with the average 30-year fixed rate reaching 6.31% APR.

Kate Wood
Dawnielle Robinson-Walker
Updated
Mortgage rates are on the move. The average interest rate on a 30-year, fixed-rate mortgage fell to 6.31% APR for the week ending June 18, according to rates provided to NerdWallet by Zillow. But rates could take a new direction.
On June 17, the Federal Reserve left its benchmark interest rate unchanged. Looking ahead, the focus shifts back to inflation and the Federal Reserve's next moves. The Fed isn't expected to cut rates anytime soon. In fact, higher inflation and a steady job market are keeping the possibility of future rate hikes on the table. That makes a sustained decline in mortgage rates look less likely for now.

🤓 Kate On Rates: June 18, 2026

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June mortgage rates forecast

In a widely expected move, the Federal Reserve left the federal funds rate unchanged at its June meeting.
With inflation running above the Fed's 2% target and the labor market holding steady, the case for lower rates remains weak. In fact, some economists and market watchers see a greater chance of a rate hike than a rate cut if inflation stays elevated through the summer.
Home buyers remain squeezed on two fronts: Higher mortgage rates mean steeper monthly payments, while inflation continues to eat into savings that could otherwise go toward a down payment. Mortgage rates got a boost this week from easing tensions in the Middle East, but unless inflation shows clearer signs of cooling, borrowers shouldn't count on rates moving significantly lower in the foreseeable future.
» MORE: How the Fed affects mortgage rates

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