The headline is true, with an important detail.
As of February 24, 2026, Mortgage News Daily’s daily index showed a 5.99% average for a 30-year fixed mortgage, which put the market back under 6% on that measure. The same source lists the date as last updated on 2/24/26 and notes that its index uses real lender rate sheets and updates on weekdays.
At the same time, Freddie Mac’s weekly benchmark still stood at 6.01% for the week ending February 19, 2026. Freddie Mac also says its Primary Mortgage Market Survey is a weekly average based on loan applications from the prior Thursday through Wednesday.
That difference matters.
It tells us two things at once. First, rates have eased meaningfully. Second, “the mortgage rate” is not one single number. Different trackers measure different samples, on different schedules, with different borrower profiles.
Still, the move is important.
A sub-6% print can change buyer psychology. It can also reopen refinance conversations. And it arrives just before the spring housing season, when traffic usually rises.
Why the drop matters
Mortgage rates stayed high for a long stretch. That squeezed affordability hard.
Even small rate moves can shift a monthly payment. On a 30-year fixed loan, a drop from 6.89% to 5.99% cuts principal-and-interest payments by about $206.58 per month on a $350,000 loan (illustrative example, excluding taxes and insurance). A move from 6.01% to 5.99% is much smaller, about $4.50 per month on that same loan.
So the headline matters most because it reflects a broader trend, not because one basis point changes everything.
AP reported that Freddie Mac’s 30-year average fell to 6.01%, down from 6.09% the prior week and 6.85% a year earlier. AP also noted this was the lowest weekly Freddie Mac average since September 2022.
Mortgage News Daily’s daily index also shows a wide improvement over the past year. Its table lists the 30-year fixed at 5.99%, with a 52-week high of 7.08% and low of 5.99%.
That is a major affordability shift compared with the peaks.
It does not make housing “cheap.” But it reduces pressure.
Why some sources show 5.99% and others show 6.01%
This confuses a lot of people, and for good reason.
Both numbers can be correct.
Freddie Mac’s PMMS is a weekly average based on mortgage applications submitted through its system, and it uses a defined borrower/loan profile for the survey criteria. Freddie Mac also explains that its average reflects rates offered during the prior Thursday-through-Wednesday window.
Mortgage News Daily uses a daily index driven by real-time lender rate sheets. MND says its index is built for timeliness and day-to-day movement tracking.
So when markets move quickly, the daily index can dip below 6% before a weekly survey average does.
That is exactly what appears to be happening now.
This also means borrowers should treat headlines as signals, not personal quotes.
Freddie Mac itself notes that rates vary by lender and scenario. MND says the same thing and warns that quotes can vary substantially based on borrower details.
What pushed mortgage rates lower
Mortgage rates do not move in lockstep with the Fed’s policy rate.
They react more directly to bond markets, especially the 10-year Treasury yield, and to mortgage-backed securities pricing. AP explicitly notes that mortgage rates generally follow the 10-year Treasury yield and are shaped by investor expectations for inflation and the economy.
AP also reported the 10-year Treasury yield near 4.08% at midday on the day of the Freddie Mac release. Mortgage News Daily’s rates page similarly showed the 10-year Treasury around 4.05% on the page snapshot, alongside its mortgage rate data.
The Fed still matters, but mostly through expectations.
AP noted that the Federal Reserve had paused rate cuts after three reductions late in 2025, and that meeting minutes showed many officials wanted more progress on inflation before supporting further cuts. AP also noted the Fed does not set mortgage rates directly.
That combination can produce a strange result.
Mortgage rates can drift lower even when the Fed does not cut at that moment, as long as bond yields ease.
What this means for homebuyers
The sub-6% headline helps, but it does not erase the core problem.
Home prices remain high in many markets. Inventory remains tight in many regions. Those two forces keep many buyers stretched, even after rate relief. AP describes a chronic housing shortage and elevated prices as key reasons many buyers remain priced out. Reuters also reported that realtors blamed low inventory for weak pending sales in January.
That is why lower rates have improved affordability without fully unlocking demand.
The National Association of REALTORS® reported that pending home sales fell 0.8% month over month in January and 0.4% year over year. NAR also said affordability improved, but buying activity has not fully responded yet.
NAR’s chief economist, Lawrence Yun, added a useful point. He said rates nearing 6% could bring more qualifying households into range, but he also warned that limited supply could push prices up if more buyers enter the market. Reuters and NAR both reported this dynamic.
So buyers should view this drop as a window, not a victory lap.
A lower rate can improve your payment.
It can also increase competition if other buyers jump in.
The refinance story may be even stronger right now
Refinancing often responds faster than purchases.
That makes sense. Existing homeowners already have the house. They only need the math to work.
AP reported that refinance activity has picked up as rates eased, and Freddie Mac highlighted stronger refinance application activity in its weekly release commentary. AP also cited MBA data showing applications rose 2.8% week over week, with refinance loans making up 57.4% of all applications.
MBA’s own release gives more detail. It reported a 2.8% weekly increase in total applications, a 7% rise in the Refinance Index, and a 3% decline in the seasonally adjusted Purchase Index for that week. MBA also said its survey’s 30-year fixed rate decreased to 6.17% in that period.
That split tells an important story.
Rate-sensitive owners moved quickly.
Purchase demand stayed more constrained.
For many homeowners, a refinance still may not make sense if they locked a mortgage in the 2% or 3% range in earlier years. But for buyers who purchased more recently at much higher rates, or for owners with specific cash-flow goals, this drop can create options. Freddie Mac’s commentary even noted that many recent buyers may reduce annual payments by refinancing.
What borrowers should do before chasing a headline rate
Do not shop for a mortgage by headline alone.
Shop the full loan.
The CFPB says interest rate matters, but it is not the only cost. Fees, points, mortgage insurance, and closing costs all affect the deal. The agency recommends comparing Loan Estimates to get the best offer.
This matters even more when rates hover near a major threshold like 6%.
Lenders can quote different rates with different point structures.
A lender may offer a lower note rate because you pay more upfront. Another lender may offer lender credits, which reduce closing costs but raise the rate. CFPB explains this tradeoff clearly: points lower your rate in exchange for higher upfront costs, while lender credits reduce upfront costs in exchange for a higher rate.
CFPB also notes that one point equals one percent of the loan amount. It warns borrowers to compare offers carefully because lenders can use different pricing structures.
In plain terms, one lender’s “5.99%” may not be cheaper than another lender’s “6.125%” if fees differ enough.
Borrowers should also watch the total monthly payment, not just principal and interest. CFPB’s Loan Estimate explainer notes that taxes, insurance, and mortgage insurance can lift the real monthly cost above the principal-and-interest figure.
That catches many first-time buyers by surprise.
Why “below 6%” does not mean everyone gets below 6%
Rates depend on borrower profile and loan type.
Freddie Mac’s FAQ says its national average is based on a specific set of applications and criteria, including conforming loan limits. Freddie Mac also describes the PMMS borrower profile as a strong-credit, owner-occupied purchase scenario in its FAQ language about product selection.
Your quote can be higher or lower than the national average.
Factors include:
Credit score
Down payment
Loan size
Property type
Occupancy
Debt-to-income ratio
Loan type (conventional, FHA, VA, jumbo, ARM)
Mortgage News Daily’s own data page reinforces this point by listing several loan categories with different rates on the same day. On the same page that shows a 5.99% 30-year fixed, MND also lists different rates for jumbo, FHA, VA, and a 7/6 SOFR ARM.
So the headline tells you market direction.
It does not replace a real quote.
The spring market question
The timing of this move matters almost as much as the level.
Spring usually brings more listings and more buyer activity. AP described the recent decline in rates as a favorable lead-in to the annual spring homebuying season, and quoted economists who expect more buyers if rates stay near current levels or move lower.
But rate relief can create two opposite effects at once.
It improves affordability.
It can also pull more buyers into the market and increase competition.
If supply stays tight, prices can remain firm. Reuters highlighted that risk through NAR’s comments about additional qualifying households and the need for more supply.
That means buyers should prepare, not just celebrate.
Get pre-approved.
Know your payment ceiling.
Compare Loan Estimates.
Understand your rate lock options.
CFPB’s Loan Estimate explainer notes that some lenders may lock the rate when issuing the Loan Estimate, while others may not, so borrowers should confirm the lock terms.
A falling-rate market can make buyers complacent.
A volatile market can punish that.
Practical next steps for buyers and refinancers
If you are buying a home, start with a full affordability check.
Use a payment target, not just a price target.
Include taxes, insurance, and likely maintenance costs. CFPB emphasizes that the estimated total monthly payment can exceed principal and interest because of escrowed items and mortgage insurance.
Then collect multiple quotes on the same day if possible.
That helps you compare real pricing, not market drift.
Ask each lender for the same loan structure. Keep points and credits consistent across quotes. CFPB specifically recommends comparing Loan Estimates and notes that different lenders can use different pricing structures.
If you are refinancing, focus on your break-even period.
How long will it take for monthly savings to repay your refinance costs?
If the answer is too long, the refi may not help.
If you expect to move soon, points may not pay off. CFPB says borrowers who are unsure how long they will keep the loan should ask lenders to model options with and without points or credits over different time horizons.
This market rewards careful comparison.
It does not reward rushing.
The bottom line
Yes, U.S. mortgage rates have effectively dipped below 6% on a widely followed daily measure.
Mortgage News Daily showed 5.99% for a 30-year fixed rate as of February 24, 2026, while Freddie Mac’s weekly average for February 19, 2026 came in at 6.01%. Both numbers fit the same story: rates have moved lower and sit near their best levels in more than three years.
That is good news for affordability.
But it is not a cure-all.
Housing supply, home prices, and local competition still shape what buyers can do. Pending sales data and mortgage application trends suggest the market has improved, but not fully reset. Refinance activity has responded faster than purchase demand.
For borrowers, the smart move now is simple.
Use the lower-rate environment as leverage.
Shop hard.
Compare Loan Estimates.
Watch points and credits.
Lock only when the full deal works for your budget.
If rates stay near this level, many households will get a better shot this spring. If they fall further, that window may widen. If they bounce back, the borrowers who prepared early will still have the advantage.
