What homebuyers should do as mortgage rates rise again

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March 16, 2026 / 12:00 PM EDT/ CBS News
Averagemortgage interest ratesare on the rise again.

After declining comfortably into the5% rangein February, rates here rose last week, thanks to a combination of unevenunemploymentandinflationreports and ongoinggeopolitical uncertainty.

And with thechances of an interest rate cutat this week's Federal Reserve meeting less than 1% now, homebuyers may need to explore alternative options if they're looking to secure an affordable interest rate.

Fortunately, there are still reliable ways to do just that.

But they will require an aggressive, informed approach on behalf of homebuyers.

A little timing and luck will be required, too, as interest rate rises here could become more common if existing market conditions don't quickly improve.

Against this backdrop, there are certain steps homebuyers should consider taking.

Below, we'll detail three of the more important ones.

Start by seeing how low your current mortgage interest rate options are here.

Don't sit on the sidelines as mortgage rates slowly tick up again.

Instead, consider making these three moves right now:
Shopping around for mortgage interest rates and lenders has proven to be one of the best and most effective ways to locate a below-average interest rate.

Buyers have been able to find amortgage interest rate as much as a full percentage point below averageby taking the time to review their options.

So don't discount this tactic, especially now, as lenders will respond in different ways to market conditions.

In other words, don't automatically assume that rates will be the same from lender to lender, as there is plenty of room for interpretation in today's economy.

You won't know which cheaper offers are truly out there, however, until you take the time to do your research.

Fortunately, with online marketplaces listing rates, lenders, fees and terms all in one location, it's arguably easier than ever to complete this critical part of the homebuying process.

Shop for mortgage rates and lenders here now.

Once you've determined which lender is actually offering the most affordable options, you can feel comfortable moving forward.

And that will involve reviewing all of the ways in which you can secure a below-average rate now.Adjustable-rate mortgages (ARMs)may be worth evaluating, for example, especially if you're comfortable with changes in the future in exchange for a potentially lower rate right now.

The addition ofmortgage interest pointsmay also be helpful, especially if the fee you pay the lender now results in a materially lower rate (enough to justify a purchase).

Finally, consider the pros and cons of a 20-year mortgage term, too, which isn't always listed on lender websites but can still provide an attractive combination of an abbreviated term and slightly lower mortgage rate.

Just 5.87% and 5.37%.

Those were theaverage mortgage purchase interest ratesfor 30-year and 15-year terms on February 11, barely one month ago.

By March 16, however, they had climbed to 6.12% and 5.62%, respectively.

Those are considerable increases, especially considering theabsence of a Fed meetingduring this time period.

Against this backdrop, then, and with the potential for rates to increase further, arate lockcould be the smart move to make right now.

Buyers may be able tofloat it downbefore closing – or refinance after they've bought the home – but today's rates may not last much longer.

Remember, too, that even an interest rate pause from the Fed could cause rates to rise as lenders protect against market uncertainty.

Locking in a rate currently, however, will offset that increasingly likely scenario.

With mortgage rates rising again and no clear insight into when the rise may stop, let alone reverse course, homebuyers will need to be strategic in their approach.

That means more aggressively shopping around for rates and lenders, exploring all of the available ways to secure a below-average rate, and perhaps, most importantly, locking in a rate before they have a chance to increase again.

Consider, too, speaking with lenders directly, as they may be able to help you better navigate this period in the homebuying market and detail alternative options you may not have previously considered.

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