8 strategies for getting a mortgage rate under 6%
The average 30-year mortgage rate has hovered in the low- to mid-6% range for months. While many experts predict that rates will fall slightly in 2026, most expect them to remain above the 6% mark for the foreseeable future. Fortunately, mortgage rates are highly personalized, so if you’re buying a home or refinancing in the next few years, you could still snag a lower interest rate. Here are eight strategies for securing a sub-6% rate on your next mortgage loan.
1. Choose a government-backed loan
The average rate on the most popular type of mortgage loan — the conforming conventional loan — is currently in the low-6% range. However, that rate does not apply to all types of mortgages. Often, government-backed home loans, such as VA, FHA, and USDA loans, have lower rates than conventional ones, as they are insured by the federal government.
As an example, let’s look at interest rates on Dec. 16, 2025. According to Mortgage News Daily, the average 30-year fixed rate on conventional loans was 6.29%. However, it was just 5.90% for VA loans and 5.88% for 30-year FHA loans.
On a $400,000 loan balance, an FHA loan would save you about $38,000 in interest over 30 years.
Just keep in mind that government-backed loans often come with additional fees that conventional loans don’t have. With FHA loans, you’ll have to pay for mortgage insurance premiums (MIPs), both on closing day and as part of your monthly payments. With VA loans, there’s an up-front VA funding fee.
You’ll want to calculate whether the costs associated with these types of loans are worth the savings from the lower interest rate. A loan officer can help you run the numbers to determine the mortgage annual percentage rate (APR), which reflects both the interest rate and fees you’ll pay.
2. Opt for a shorter term
Mortgage loans with shorter terms also tend to charge lower rates. According to Mortgage News Daily, the average 30-year interest rate as of Dec. 16 was 6.29%, but it was only 5.76% for 15-year conventional mortgage loans. That’s a difference of 53 basis points. On a $400,000 loan, that would equate to long-term interest savings of nearly $300,000.
There is a pretty big trade-off for those savings, though: With a shorter-term loan, your monthly payment will be higher, since you’re squeezing your repayment time into fewer months.
In the above example, it’d mean the difference between a $2,473 monthly payment (on the 30-year loan) versus a $3,324 payment (on the 15-year loan). If you choose this strategy, ensure you have the budget to cover the higher payment. Missing payments could result in losing your home to foreclosure.
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3. Buy discount points
Discount points are a tool that allows you to pay a fee at closing in exchange for a lower interest rate. The cost of points varies by lender, but you can generally expect to pay 1% of your loan amount — so $4,000 on a $400,000 loan — to reduce your interest rate by 0.25%. That would take your interest rate from 6.22% to 5.97%, for example.
You can also buy fractions of points if you don’t have a lot of cash to spend up front.
Discount points lower your interest rate for the entirety of your loan term, so they can save you a lot of money if you plan to stay in the home for a while. If you’re unsure whether you’ll stay put, calculate the break-even point — the time it will take for the points to save you more than they cost.
You can calculate this by dividing the total cost of the points (your mortgage lender will provide this information) by the monthly savings the rate reduction will provide. This will inform you of the number of months required to recoup your costs.
Here’s an example: Say your discount points cost $4,000 and save you $50 per month. Using the above formula, you would break even on those points in Month 80 (4,000 / 50 = 80). That means it would take you 80 months, or about 6.5 years, to recoup the cost of the points and start saving. If you don’t think you’ll be in the home that long, buying points probably isn’t the right move.
4. Ask about a temporary buydown
Temporary rate buydowns are similar to discount points. The main difference is that the former allows you to lower the rate for a set number of years, while the latter reduces your rate for the entire loan term.
A good example of a temporary rate buydown is the 3-2-1 buydown, which lowers your rate by 3% in year 1, 2% in year 2, and 1% in year 3. For the remaining years, the loan reverts to your originally quoted rate.
Borrowers, lenders, sellers, and other parties in the transaction can fund buydowns; sometimes, lenders will offer these as incentives when interest rates are high. However, after the buydown expires, you’ll need to be prepared for the higher interest rate — and the higher monthly payment that comes with it.
5. Improve your credit score
Your credit score when buying a house plays a significant role in the interest rates you qualify for. Typically, the best rates are reserved for borrowers with the highest credit scores, as these individuals are considered the least likely to default on their loans.
Data from Intercontinental Exchange (ICE) shows that the average 30-year mortgage rate for borrowers with a 780 credit score was 6.14% for the period spanning Sept. 9, 2025, through Dec. 9, 2025. For those with scores under 680, the rate was 6.59%. Neither of these rates is below 6%, but the difference between them would equate to significant savings in the long run.
6. Shop around for your lender
Rates aren’t set in stone, and they can vary widely between mortgage lenders — even for the same borrower. For this reason, you can often find a lower rate simply by shopping around and comparing offers.
According to Freddie Mac, getting just four rate quotes can save you over $1,200 annually in interest. Two rate quotes can save up to $600. Just ensure that you apply for your quotes within two weeks, so that your applications are counted as a single credit inquiry. This minimizes the impact the mortgage preapproval applications have on your credit score.
7. Consider an adjustable-rate mortgage
Like shorter-term and government-backed mortgages, adjustable-rate mortgages (ARMs) also often charge lower interest rates. According to the previously mentioned ICE data, 7/6 ARMs had a 34-point lower rate than 30-year fixed-rate mortgages on Dec. 10, 2025.
That difference would equate to a significantly lower monthly payment — at least for the first seven years of the loan. For the remaining 23 years, the rate could rise or fall based on the index it’s tied to, which could mean a much higher payment than what you’ve budgeted for. These loans are typically only a good idea if you know you’ll sell the home or refinance the mortgage before your rate adjusts.
8. Wait it out
What goes up must come down, so there’s a good chance rates will fall below 6% at some point down the line. In fact, in its November Housing Forecast, Fannie Mae projects that rates will reach 5.9% by the end of 2026. So, if you can wait to refinance or purchase a home until then, a lower rate may be within reach.
Fair warning: The Mortgage Bankers Association doesn’t predict sub-6% rates at any point in 2026 or 2027, according to its latest forecast. Predictions vary among economists and organizations.
It may also not be worth waiting for lower rates if you can afford to buy a house now. Timing the real estate market is nearly impossible, and the longer you hold out, the more time you lose in building equity in a home.
Getting a mortgage rate under 6% FAQs
Can you get a mortgage rate under 6%
While average rates aren’t currently below 6%, there are strategies you can use to secure a lower rate — potentially one even lower than 6%. These include buying discount points, selecting the right type of mortgage and term length, opting for a temporary rate buydown, improving your credit score, and comparing mortgage lenders.
Will mortgage rates get below 6%?
Most experts don’t expect average mortgage rates to drop below 6% for some time. However, Fannie Mae predicts an average 30-year mortgage rate of 5.9% by the end of 2026.
Is a 5% mortgage rate possible?
A 5% mortgage rate is possible, but probably not on a 30-year mortgage — at least not in today’s market. To qualify for a 5% rate, you may need to opt for a short-term or adjustable-rate loan. Buying discount points or obtaining a temporary buydown may also help you reach a 5% rate.
Laura Grace Tarpley edited this article.
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