Can I Afford a Home With Today's Mortgage Rates?
By Jeff and Lane Morrell · October 2026
The Morrell Group | eXp Realty
Yes, for many buyers, but rates matter: the 30-year fixed averaged 7.32% as of Oct 22, 2026 (Freddie Mac), up from 6.19% a year earlier, and that pushes the monthly payment up versus 2025. Run the real number before you shop, not the number from a guessing calculator.
Where rates are now
Freddie Mac's Primary Mortgage Market Survey put the 30-year fixed at 7.32% on Oct 22, 2026, down from 7.40% the week before but up from 6.19% a year earlier. Over the past 52 weeks the rate has ranged roughly from 5.98% to 7.40%, and the 2026 average so far is about 6.5%.
Rates move in both directions; what matters is the payment at the rate you can lock today.
What that means for a monthly payment
Principal and interest on a $400,000 loan at 7.32% is roughly $2,750 a month before taxes, insurance, and any HOA, so the total payment will be higher. At the 2026 average of about 6.5%, that same loan drops to roughly $2,528 a month.
Builder rate buydowns and lender credits can lower the effective rate on new construction, which is one reason incentives are such a big deal right now.
Ways to make it work
FHA and VA loans, down payment assistance, seller concessions, buydowns, and adjusting your price range all change the math. A 2-1 buydown or a permanent buydown can cut the payment meaningfully for the first years or the life of the loan.
The single most important step is getting pre-approved: the lender gives you a number, and we show you what that number actually buys.
Get pre-approved and let us show you the real payment across price points, including taxes, insurance, and metro district levies, because that is the number that decides affordability, not the list price alone. If the payment fits your life, today's rates are workable; if it does not, we will help you find what fits. We've got you.
Here when you're ready, Jeff & Lane Morrell
- Freddie Mac Primary Mortgage Market Survey, Oct 22, 2026
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