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30-Year Mortgage Rates Drop Below 6% For First Time In Years

  • January 12th

by UrbanTurf Staff

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After what feels like an eternity of elevated borrowing costs, 30-year fixed mortgage rates dropped below 6% for the first time since 2023 on Friday.

The benchmark rate fell to 5.99%, marking a significant psychological threshold for a market that's been grappling with affordability challenges for the better part of two years.

The 22 basis point drop came on the heels of President Trump directing Fannie Mae and Freddie Mac to purchase $200 billion in mortgage-backed securities on Thursday. 

“2026 could be the first spring season for housing since 2022 where resale buyers too can buy with a 30-year mortgage starting with a 5,” Rick Palacios Jr., director of research at John Burns Research and Consulting, wrote on X. 

To put the new rates in perspective, a borrower taking out a $600,000 loan—roughly the median purchase price in the DC region—would save approximately $250 per month compared to rates from six months ago. 

See other articles related to: interest rates, mortgage rates

This article originally published at https://dc.urbanturf.com/articles/blog/30-year_mortgage_rates_drop_below_6_for_first_time_in_years/24207.

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