30-Year Mortgage Rate History (2000-2024)
This page shows the average 30-year fixed mortgage rates for each year from 2000 to 2024, sourced from Freddie Mac's Primary Mortgage Market Survey (PMMS). Rates ranged from a historic low of 2.72% in 2021 to 8.15% in 2000. The data reveals key turning points: the sharp drop in 2008-2009 during the financial crisis, the sustained low-rate period of 2010-2021, and the rapid increase in 2022-2023 as the Federal Reserve raised rates to combat inflation. Use the calculator on this page to compute your monthly payment: enter the loan amount, interest rate, and term, and instantly see what your principal-and-interest payment would be at different rates or loan sizes.
Historical range: 2.72% (2021, lowest) to 8.15% (2000, highest) for 30-year fixed mortgages. Current estimated payment: A 300,000 USD loan at 6% over 30 years costs approximately -- per month (principal and interest).
30-year fixed mortgage rates 2000-2024
Annual average rates from Freddie Mac Primary Mortgage Market Survey (PMMS).
| Year | Average Rate |
|---|---|
| 2000 | 8.15% |
| 2001 | 7.00% |
| 2002 | 6.54% |
| 2003 | 5.83% |
| 2004 | 5.85% |
| 2005 | 5.87% |
| 2006 | 6.41% |
| 2007 | 6.34% |
| 2008 | 6.03% |
| 2009 | 5.09% |
| 2010 | 5.09% |
| 2011 | 4.45% |
| 2012 | 3.55% |
| 2013 | 4.46% |
| 2014 | 4.17% |
| 2015 | 3.85% |
| 2016 | 3.65% |
| 2017 | 4.09% |
| 2018 | 4.54% |
| 2019 | 3.72% |
| 2020 | 2.96% |
| 2021 | 2.72% |
| 2022 | 3.94% |
| 2023 | 6.85% |
| 2024 | 6.26% |
How mortgage payments are calculated
The monthly mortgage payment (principal and interest) is calculated using the loan amount, interest rate, and loan term. The formula ensures that by the end of the term, the loan is fully paid.
M = P [ r(1+r)^n ] / [ (1+r)^n - 1 ]
Where M = monthly payment, P = principal, r = monthly interest rate (annual rate / 12), n = number of months
Worked example
Loan of 300,000 USD at 6% annual interest, 30-year term:
- Monthly rate = 6% / 12 = 0.5% = 0.005
- Number of months = 30 x 12 = 360
- M = 300,000 [ 0.005(1.005)^360 ] / [ (1.005)^360 - 1 ]
- M = 300,000 [ 0.005 x 6.023 ] / [ 6.023 - 1 ]
- M = 300,000 x 0.00599 = 1,798.65 USD per month
Note: This is principal and interest only. Your total monthly payment also includes property tax, home insurance, and possibly PMI or HOA fees, which vary by location and property.
What affects mortgage interest rates?
Mortgage rates are primarily driven by the 10-year US Treasury yield, which reflects long-term interest rate expectations. The Federal Reserve's federal funds rate (short-term rate) influences Treasury yields but does not directly set mortgage rates. Other factors include:
- Inflation expectations: Higher expected inflation pushes rates up.
- Economic growth: Strong growth tends to push rates up; weak growth pushes them down.
- Fed monetary policy: Tight policy (raising rates) pushes mortgage rates up; loose policy lowers them.
- Credit risk: In financial stress, rates may spike due to risk premiums.
- Competitive environment: More lenders and lower origination costs can reduce rates.
Mortgage rates: frequently asked questions
What is a 30-year fixed mortgage?
A 30-year fixed-rate mortgage is a home loan where the interest rate remains constant for the entire 30-year term. Your monthly payment (principal and interest) does not change, making it easy to budget and protecting you from rising interest rates. Fixed-rate mortgages are the most common type in the US. The alternative is an adjustable-rate mortgage (ARM), where the rate changes periodically after an initial fixed period.
How do mortgage rates affect the monthly payment?
The monthly payment is calculated using the loan amount, interest rate, and loan term. The formula is: M = P [ r(1+r)^n ] / [ (1+r)^n - 1 ], where P is principal, r is monthly interest rate, and n is number of months. A higher rate means higher monthly payments. For example, a 300,000 USD loan at 4% over 30 years costs about 1,432 USD/month, while at 6% it costs about 1,799 USD/month. A 2% difference adds 367 USD per month or 132,000 USD over 30 years.
What caused the sharp rate increase in 2023?
In 2023, the Federal Reserve raised the federal funds rate aggressively to combat inflation. The fed funds rate controls short-term rates; mortgage rates (30-year fixed) follow longer-term expectations and bond yields. The 10-year Treasury yield, which strongly influences 30-year mortgage rates, rose from 1.5% in early 2021 to over 4% in 2023, pushing mortgage rates from under 3% to nearly 7%. This was the most rapid rate-hiking cycle in 40 years.
When were mortgage rates lowest?
Mortgage rates were at historic lows in 2020-2021, averaging below 3%, as the Federal Reserve cut rates to near zero during the COVID-19 pandemic and pursued expansionary monetary policy. The lowest annual average was 2.72% in 2021. This low-rate period ended in 2022 as inflation accelerated. Rates have remained elevated since, ranging from 6% to 7% in 2023-2024.
How do I lock in a mortgage rate?
When you apply for a mortgage, the lender offers a rate based on current market conditions. You can usually lock that rate for 30-60 days (standard lock) at no cost while you complete the application. Some lenders offer longer locks (90-120 days) for a fee. If rates fall during your lock period, you cannot take advantage of the drop. If rates rise, you are protected. If you want to compare rates, get quotes from multiple lenders; they quote current rates and allow you to lock once you proceed.
What is the difference between APR and interest rate?
The interest rate is the percentage of the loan balance charged annually. The Annual Percentage Rate (APR) includes the interest rate plus other loan costs (origination fees, closing costs, points) expressed as a rate. APR is higher than the stated interest rate and gives you a more complete picture of the total cost. Lenders must disclose both rates. For monthly payment calculations, use the interest rate, not the APR.
Should I get a 15-year or 30-year mortgage?
A 30-year mortgage has lower monthly payments but you pay more interest over time. A 15-year mortgage has higher monthly payments but you pay off the home faster and pay much less total interest. At 6% rate: 300,000 USD loan costs 1,799 USD/month for 30 years (total interest 547,000 USD) or 2,531 USD/month for 15 years (total interest 155,600 USD). Choose based on your cash flow, financial goals, and comfort with the higher payment. Many people choose 30-year for flexibility.
How do I use the mortgage calculator?
Enter the loan amount (the price you are paying minus your down payment), the interest rate (get this from a lender quote), and the loan term in years (typically 15 or 30). The calculator instantly shows your monthly principal and interest payment. This does not include property tax, insurance, or HOA fees, which are separate. Add those to get your total monthly housing cost. Results update as you change values.
Official sources
- Freddie Mac Primary Mortgage Market Survey (PMMS): Freddie Mac PMMS. Weekly and historical mortgage rate data.
- Federal Reserve economic data: Federal Reserve, Economic Data (FRED). Interest rates, Treasury yields, and fed funds rate.
- HUD mortgage resources: US Department of Housing and Urban Development. Home buying and mortgage information.
- Consumer Financial Protection Bureau (CFPB): CFPB. Mortgage disclosures and consumer protection resources.
Reviewed by the CalculatorHub team, edited by James Graham, 14 June 2026. See our methodology. General information only. Mortgage rates from Freddie Mac; coverage 2000-2024 annual averages.