Compare today’s 15-year vs 30-year mortgage rates (6.65% vs 5.95%) and see which loan term saves the most interest over the life of the loan.
As of market close on August 20, 2026, the 30-year fixed mortgage rate averaged 6.65% while the 15-year fixed averaged 5.95%, producing a 70-basis-point spread, according to FRED data. The 10-year Treasury yield stood at 4.65%, leaving a 200-basis-point mortgage spread over Treasuries.
Freddie Mac’s Primary Mortgage Market Survey for the week ending August 13 reported a 30-year fixed at 6.67% and a 15-year fixed at 5.96%. One week earlier those figures were 6.69% and 6.01%, respectively. A year ago the 30-year averaged 6.58% and the 15-year 5.96%, indicating the spread has remained relatively stable near 70 basis points.
| Product | Interest Rate | APR |
|---|---|---|
| 30-Year Fixed | 6.81% | 6.87% |
| 20-Year Fixed | 6.72% | 6.80% |
| 15-Year Fixed | 5.95% | 6.05% |
| 10-Year Fixed | 5.88% | 5.96% |
| FHA 30-Year Fixed | 6.72% | 6.77% |
| VA 30-Year Fixed | 6.53% | 6.58% |
Data compiled from lender-reported pricing on August 19, 2026.
A $300,000 loan at today’s 30-year rate of 6.65% carries a monthly principal-and-interest payment of $1,925 and total interest of $393,000 over 360 months. The same balance at the 15-year rate of 5.95% requires a $2,530 monthly payment but reduces total interest to $155,400—saving $237,600 in interest and retiring the debt 15 years sooner.
Borrowers choosing the 15-year term accept a 31% higher monthly payment in exchange for cutting the repayment period in half and lowering the interest rate by 70 basis points. Households with stable cash flow and a desire to eliminate housing debt before retirement often favor the shorter term.
Rate sheets pulled on August 20 showed the 30-year/15-year spread ranging from 65 basis points in the Southeast to 75 basis points in the Pacific Northwest, reflecting differences in average credit scores and property values. No single metro area deviated more than 10 basis points from the national average.
Homeowners who took 30-year loans in 2021 at rates below 3.5% currently show limited incentive to refinance into either 2026 product. However, those who originated above 7% in 2023 can reduce both rate and term by moving to a 15-year loan, provided they qualify for the higher payment.
With the 15-year fixed 70 basis points cheaper than the 30-year fixed and total interest savings exceeding $200,000 on a typical loan, borrowers able to absorb the higher monthly payment can lock in substantial long-term economies. Readers evaluating their own numbers can run live scenarios at HomeRates.ai to quantify the break-even point between the two terms.
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