Mortgage and refinance interest rates today, February 4, 2026: Annual Costs Drop by More Than Half a Point

Mortgage rates showed little movement today, holding steady near recent lows and staying under the 6% mark. For many buyers and homeowners, the bigger story is the year-over-year drop, which has meaningfully lowered borrowing costs compared with early 2025.

According to Zillow data, the average 30-year fixed mortgage rate is 5.98%, down 61 basis points from a year ago. The 15-year fixed rate sits at 5.50%, marking an even larger annual decline of 73 basis points. While daily changes have been small, these longer-term declines continue to improve affordability.

Rates still vary based on credit score, loan type, location, and lender, meaning well-qualified borrowers may be able to secure rates below the national average.

Today’s Mortgage Rates

Here are the latest national average mortgage rates from Zillow:

• 30-year fixed: 5.98%
• 20-year fixed: 6.06%
• 15-year fixed: 5.50%
• 5/1 ARM: 5.92%
• 7/1 ARM: 6.12%
• 30-year VA: 5.53%
• 15-year VA: 5.23%
• 5/1 VA: 5.07%

Rates shown are national averages and rounded to the nearest hundredth.

Today’s Mortgage Refinance Rates

Refinance rates continue to run slightly higher than purchase rates, which is typical:

• 30-year fixed: 6.11%
• 20-year fixed: 6.13%
• 15-year fixed: 5.68%
• 5/1 ARM: 6.08%
• 7/1 ARM: 6.53%
• 30-year VA: 5.58%
• 15-year VA: 5.51%
• 5/1 VA: 5.07%

Even with the small premium for refinancing, many homeowners still benefit if they are replacing a loan taken out when rates were closer to 7%.

Why Rates Are Staying Calm

Mortgage rates are closely tied to the bond market, and bonds have been trading in a narrow range. Recent updates from the Treasury Department showed no immediate increase in government borrowing, which helped prevent upward pressure on rates.

At the same time, mixed economic data including modest service-sector activity helped offset earlier concerns about rising bond supply. When bonds stay steady, mortgage rates usually do the same.

In short, flat bond prices have kept mortgage rates stable, even as markets wait for stronger economic signals.

30-Year Fixed Mortgage: What to Know

The 30-year fixed mortgage remains the most popular option because it offers:

• Lower monthly payments
• Predictable costs over the life of the loan

The tradeoff is higher total interest paid over time compared with shorter loan terms. Still, for buyers focused on monthly cash flow, the 30-year option often provides flexibility.

15-Year Fixed Mortgage: Faster Payoff, Higher Payments

A 15-year fixed loan comes with:

• Lower interest rates
• Faster equity build-up
• Much lower total interest costs

However, monthly payments are significantly higher because the loan is paid off in half the time. This option works best for borrowers with strong income stability and room in their budget.

Adjustable-Rate Mortgages: Still a Mixed Choice

Adjustable-rate mortgages (ARMs) lock in a rate for a set period — often five or seven years — before adjusting annually.

While ARMs traditionally start with lower rates, recent data shows fixed-rate loans are often equal to or cheaper than ARMs right now. Borrowers considering an ARM should weigh the risk of future rate increases, especially if they plan to stay in the home long term.

Are Mortgage Rates Dropping Overall?

Mortgage rates have moved lower over the past year, even with short-term swings tied to politics, inflation news, and global events. Despite occasional bumps, today’s rates remain more than half a percentage point lower than last year, offering real savings.

Tips to Get the Best Mortgage or Refinance Rate

To improve your chances of securing a lower rate:

• Strengthen your credit score
• Reduce your debt-to-income ratio
• Compare offers from multiple lenders
• Consider shorter loan terms if affordable

Even small rate differences can add up to thousands of dollars over time.

Bottom Line

Mortgage rates on February 4, 2026, remain steady and historically calmer than last year. While daily movement is limited, the annual decline has created better conditions for buyers and homeowners alike. As long as bond markets remain stable, rates are likely to stay within this narrow range in the near term. For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.