For the week ending March 6, 2025, mortgage rates decreased 13 basis points (bp) to 6.63%.

This past week, the monthly payment on a $100,000 loan declined from $649/month to $641/month, a $8/month decrease.

While mortgage rates fell 13bp, the 10-Year Treasury rate remained unchanged. As a result, the spread between mortgage rates and the 10-Year Treasury also decreased 13bp to 234bp.

With the historical spread at 168bp, there now exists a safety cushion of 66bp above the historical norm.

For reference, in July 2024, the spread was 150bp, indicating that mortgage rates have fallen more than the 10-Year Treasury.

Bill Knudson, Research Analyst LANDCO NEXA