Shopping for mortgage rates can save borrowers a lot of money — $222 a month on average, according to a June report from LendingTree. But there’s a trick to browsing the field for the best rate. For one thing, compare rates on a single day — ideally, around the same time of day, advises David Reed, a loan officer for 20-plus years.

Mortgage rates tend to track longer-term Treasury yields, which respond to inflation data and growth outlooks. When inflation cools, borrowing costs can ease. When price pressures rise, lenders raise rates to protect returns. Expectations for Federal Reserve policy also matter, even though the Fed does not set mortgage rates directly.

Homebuyers aren't moving off the sidelines as new home loan applications remain flat despite mortgage rates ending 2025 at its lowest level.