Mortgage Rates Fall to 7.18%, Third Weekly Drop in a Row: What It Saves You
Freddie Mac's 30-year average eased to 7.18% on Nov. 5, 2026, the third straight weekly decline. Here's what it means for your monthly payment.
- The number: Freddie Mac’s 30-year fixed average fell to 7.18% for the week of November 5, 2026, down from 7.24% a week earlier.
- The streak: it’s the third weekly drop in a row (7.32% → 7.24% → 7.18%). The 15-year fixed slipped to 6.57%.
- What it saves: on a $350,000 loan, the drop since October 22 trims principal and interest by about $33 a month, roughly $400 a year.
- The catch: rates are still about a full point above a year ago (6.22%), and a jobs report (Nov 6) and inflation report (Nov 10) could move them either way.
Good news comes in small packages sometimes. This week the package was six basis points wide. Freddie Mac’s weekly survey shows the average 30-year fixed mortgage rate eased to 7.18%, the third straight weekly decline. It won’t make anyone throw a party, but if you’ve been waiting on the sidelines, it’s worth knowing exactly what the move is worth in real dollars.
This week’s rates at a glance
| Loan type | Nov 5, 2026 | Oct 29, 2026 | A year ago |
|---|---|---|---|
| 30-year fixed | 7.18% | 7.24% | 6.22% |
| 15-year fixed | 6.57% | 6.60% | 5.50% |
Source: Freddie Mac Primary Mortgage Market Survey. These are national averages for borrowers with excellent credit and a 20% down payment, based on loan applications submitted to Freddie Mac from the prior Thursday through Wednesday.
Freddie Mac said rates kept moving down “against a backdrop of strong economic growth.” In plain English: the economy isn’t falling apart, yet borrowing costs still eased a bit. That mostly reflects calmer bond markets after the Federal Reserve held its key rate steady on October 28 instead of hiking again.
What 7.18% means for your monthly payment
Here’s principal and interest on a 30-year fixed loan at this week’s rate, compared with three weeks ago and a year ago. Taxes, insurance and any mortgage insurance would come on top.
| Loan amount | At 7.18% (now) | At 7.32% (Oct 22) | At 6.22% (a year ago) |
|---|---|---|---|
| $300,000 | $2,032 | $2,061 | $1,841 |
| $350,000 | $2,371 | $2,404 | $2,148 |
| $400,000 | $2,710 | $2,748 | $2,455 |
Payments computed by Keys & Coffee with the standard amortization formula. Run your own numbers in the mortgage calculator.
Is the 15-year loan worth a look?
The 15-year fixed sits at 6.57%, about 0.6 points lower than the 30-year. On a $350,000 loan, the 15-year payment is about $3,062 versus $2,371 for the 30-year. That’s roughly $690 more a month, but you’d be done in half the time and pay far less interest overall. If your budget can stretch, compare both side by side in our 15- vs 30-year mortgage guide.
Why rates eased, and why it might not last
Mortgage rates follow longer-term bond yields more than the Fed’s own rate. After the Fed held steady in late October, investors relaxed a little and yields drifted lower, pulling mortgage rates along. The Mortgage Bankers Association’s own survey showed a similar trend, with its 30-year contract rate easing to 7.30% in the week ending October 30.
The worry is inflation. Fed Chair Kevin Warsh has repeatedly said inflation is still too high, and traders have been betting on another rate hike in December. If the next inflation or jobs data run hot, bond yields could climb again and take mortgage rates with them. For the bigger picture, see our weekly mortgage rate forecast and will mortgage rates go down in December?
What to do with a three-week dip
- Buying soon? Get quotes from at least three lenders this week. A small dip is the best time to compare, because lenders reprice daily.
- Already under contract? Ask your lender about a rate lock. Locking protects you if the next data surprise pushes rates back up.
- Thinking about refinancing? A 0.14-point drop is rarely enough on its own. Check your break-even in the refinance calculator before paying closing costs.
- Still saving? See what price range fits your budget at today’s rate with the home affordability calculator.
What to watch next
| Date | Event | Why it matters |
|---|---|---|
| Fri, Nov 6 | October jobs report (BLS) | A hot labor market supports another Fed hike |
| Tue, Nov 10 | October inflation (CPI) | The biggest input for the December Fed call |
| Thu, Nov 12 | Next Freddie Mac rate survey | Shows whether the streak reaches four weeks |
| Dec 8–9 | Fed meeting | Markets have priced a possible quarter-point hike |
FAQ
What is the average 30-year mortgage rate this week?
Freddie Mac’s average was 7.18% for the week of November 5, 2026, down from 7.24% the week before.
Are mortgage rates going down?
They’ve dipped for three straight weeks, but they’re still about a point higher than a year ago. Most forecasters expect rates to stay above 7% for now.
Should I lock my rate now?
If you’re under contract and the payment fits your budget, locking removes the risk of a jump after the jobs or inflation reports. Waiting could pay off, but it’s a gamble.
How much does a 0.1% rate drop save?
On a $350,000 30-year loan, every 0.1 point is worth roughly $23 to $24 a month at today’s rate levels.
Sources: Freddie Mac Primary Mortgage Market Survey (Nov 5, 2026 and Oct 22, 2026); Mortgage Bankers Association Weekly Mortgage Applications Survey (Nov 4, 2026); Federal Reserve FOMC statement (Oct 28, 2026); U.S. Bureau of Labor Statistics release schedule. Payment examples computed by Keys & Coffee. This article is general education, not financial advice. Keys & Coffee is not a lender.
Written by
Shivam Kaushik· IMSHIVA
Founder & Director, QuibbleTech Solutions Pvt Ltd · Editor, Keys & Coffee
Shivam Kaushik is the founder of QuibbleTech Solutions Pvt Ltd and the editor of Keys & Coffee. He is not a licensed loan officer or financial adviser. Every guide here is written in plain English and checked against official sources such as the CFPB, HUD, Fannie Mae, Freddie Mac and the Federal Reserve. For advice on your own loan, talk to a licensed lender.
Keys & Coffee is an independent education site. We are not a lender or mortgage broker, we do not take loan applications or payments, and nothing here is financial advice. This site is not affiliated with Axia Home Loans, Axia Financial, LLC, or Planet Home Lending. Rates and rules change often — always confirm details with a licensed loan officer and check any lender on the NMLS Consumer Access site.
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