U.S. Mortgage Rates Down 5 Basis Points on June 24th 2025
David Garner
Daily U.S. Mortgage Rate Update: June 24, 2025 – Navigating Rates for International Property Investors
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For international investors with an interest in U.S. investment properties, staying abreast of daily mortgage rate fluctuations is paramount. These shifts directly impact your borrowing costs, property affordability, and ultimately, your potential for consistent cash flow.
This daily update, specifically crafted for global property investors, provides today’s average U.S. mortgage rates as of Tuesday, June 24, 2025. We’ll also delve into the latest expert forecasts and provide a crucial overview of common mortgage options available to non-U.S. residents, equipping you with the knowledge to make informed strategic decisions in the dynamic U.S. market.
Investment Properties: Browse U.S. Investment Properties Curated for non-Resident Investors
Key Takeaways for International Investors (June 24, 2025)
- Rates Dip Slightly: U.S. mortgage rates are showing a modest decline across key products this week.
- 30-Year Fixed (Purchase): Averaging around 6.88%, down from last week.
- 15-Year Fixed (Purchase): Averaging around 6.08%, also showing a slight weekly decrease.
- Expert Outlook: Forecasters like Fannie Mae continue to anticipate gradual declines into late 2025 and 2026, potentially reaching 5.8% by the end of 2026.
- Strategic Positioning: Leverage specialized foreign national loan programs (DSCR, Traditional FN, ITIN) to secure properties now, positioning for potential refinancing opportunities if rates fall further.
- Focus on Cash Flow: Prioritize properties that deliver strong consistent cash flow even in the current rate environment, utilizing loan types designed for international buyers.
Related: Best U.S. Real Estate Markets for Non-Resident Foreign Nationals
Today’s U.S. Mortgage Rates (Tuesday, June 24, 2025)
As of Tuesday, June 24, 2025, U.S. mortgage rates are exhibiting a slight downward trend across various loan products compared to the previous week. Here’s a snapshot of today’s average rates for purchase and refinance, including their weekly changes, based on data from leading financial sources:
| Loan Type | Average Purchase Interest Rate | Weekly Change (Purchase) | Average Refinance Interest Rate | Weekly Change (Refinance) |
|---|---|---|---|---|
| 30-Year Fixed | 6.88% | -0.05% | 6.83% | -0.07% |
| 15-Year Fixed | 6.08% | -0.02% | 6.18% | -0.01% |
| 5/1 ARM | 6.04% | -0.23% | – | – |
| 30-Year Fixed Jumbo | 6.95% | -0.01% | 6.95% | -0.01% |
| 10-Year Fixed | 5.97% | -0.09% | 6.14% | -0.02% |
(Source: CNET, June 24, 2025 and Bankrate, June 23, 2025, reflecting latest available data as of morning EDT.)
Commentary for International Investors:
The modest decline in rates this week offers a slight reprieve, making financing marginally more attractive. While rates remain elevated relative to historical lows, the focus on identifying properties that deliver robust consistent cash flow is paramount to ensuring profitability, regardless of small rate fluctuations.
Expert Insights: What Leading Economists Are Saying About Future Rates
For international investors, a forward-looking perspective on mortgage rates is crucial for long-term strategy. Here’s what leading economists are currently forecasting:
- Fannie Mae’s Outlook: Fannie Mae anticipates mortgage rates will continue a modest decline, projecting average 30-year fixed rates to end 2025 at approximately 6.1% and further ease to 5.8% by the end of 2026 (CNET, June 24, 2025). This outlook suggests a continued, albeit gradual, improvement in borrowing costs.
- Cautious Optimism: While some economists, like Jeb Smith (licensed real estate agent and CNET Money expert), suggest rates could decline “slowly and steadily,” they also caution that “numerous risks could also keep rates elevated” (CNET, June 24, 2025). Factors like lingering inflation, geopolitical events, and global trade tensions could introduce volatility.
- Federal Reserve’s Stance: The Federal Reserve recently adopted a “wait-and-see” approach, keeping interest rates steady in 2025 (most recently on June 18th). However, expectations still lean towards two 0.25% rate reductions this year, which could provide some downward pressure on mortgage rates (CNET, June 24, 2025).
These forecasts indicate that while a significant drop in rates isn’t expected immediately, the general trajectory points towards further gradual easing, which could create advantageous refinancing opportunities for international investors in the coming years.
Related: U.S. Mortgage Rate Forecast 2025 to 2026
U.S. Mortgage Options for International Investors: A Comparative Table
For international investors, securing financing in the U.S. without a local credit history or traditional income documentation can be a primary challenge. Specialized loan programs are available to bridge this gap:
| Loan Type | Typical Rates (Approx.)* | Minimum Loan Size (Approx.) | Income Required? | Loan-to-Value (LTV) |
|---|---|---|---|---|
| Traditional Foreign National Loan | 6.5% – 8.5%+ | $100,000 – $250,000+ | Yes: Verifiable foreign income (employment letters, foreign tax returns, foreign bank statements). Documentation often requires certified translation and Apostille. | 50% – 75% |
| DSCR (Debt Service Coverage Ratio) Loan | 7.0% – 9.0%+ | $75,000 – $150,000+ | No (Property-Based): Qualification is primarily based on the investment property’s projected rental income covering its expenses (DSCR ratio). Borrower’s personal income and DTI are not typically verified. | 70% – 80% |
| ITIN Loan | 7.5% – 9.5%+ | $75,000 – $150,000+ | Yes: Requires verifiable U.S. income (U.S. tax returns with ITIN, pay stubs, U.S. bank statements). Typically for individuals earning income in the U.S. who do not have a Social Security Number. May consider alternative credit. | 70% – 85% |
*Note: Rates are approximate and highly variable based on market conditions, lender, borrower creditworthiness (where applicable), LTV, property type, and specific loan terms. These are general ranges for international buyers, and may be higher than conventional U.S. rates for citizens/residents.
Strategic Advice for International Investors:
- Understand Your Needs: Each loan type serves a different purpose. If your goal is purely investment and you prioritize minimal personal documentation, a DSCR loan is often the most suitable.
- Cash Reserves: Regardless of loan type, international investors should be prepared to show significant cash reserves (typically 6-12 months of mortgage payments and property expenses) as a liquidity buffer.
- Professional Guidance: Navigating these options is complex. A specialized foreign national mortgage broker can help you identify the best loan program for your specific circumstances and investment goals.
Related: The Best U.S. Mortgages for Non-Resident Foreign Nationals in 2025
Strategic Implications for International Investors on June 24, 2025
For international investors, today’s rate movements and the expert forecasts highlight several key strategic considerations:
- Embrace the Rental Market: The ongoing affordability challenges for many U.S. homebuyers continue to strengthen the rental market. This creates a larger and more stable tenant pool, reinforcing the case for international investors to focus on properties that generate strong consistent cash flow.
- DSCR Loans as a Primary Tool: DSCR loans remain a cornerstone for international investors, enabling property acquisition based on the asset’s performance rather than personal credit or income – a crucial advantage given the specific needs of non-residents.
- Position for Refinancing Opportunities: The consensus among economists for gradually declining rates in 2025 and 2026 suggests that acquiring properties now, especially with DSCR loans, could position international investors to refinance into more favourable terms in the future, thereby improving long-term cash flow.
- Long-Term Vision: Focus on properties in robust, growing markets that align with tenant preferences (e.g., single-family homes in desirable suburbs). This ensures your investments are resilient and poised for appreciation regardless of short-term rate movements.
Related: U.S. Mortgages for UK Residents: Your Essential Guide
Conclusion: Informed Decisions for Global Property Success
Today’s mortgage rate update, showing a slight downward trend, reinforces the need for agility and informed decision-making for international investors in the U.S. real estate market. By understanding current trends, leveraging expert forecasts, and strategically utilizing the right financing tools, you can confidently navigate the market.
At Cash Flow Rentals, we are committed to providing global property investors with the insights and resources necessary to build and maintain high-performing, cash-flowing portfolios. Stay informed, stay strategic, and continue to identify those lucrative opportunities across the U.S.
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Frequently Asked Questions (FAQs) on U.S. Mortgage Rates for International Investors
Here are answers to common questions international investors have about U.S. mortgage rates and financing.
Q: What are the main types of mortgages available for international investors in the U.S.?
A: For international investors, common mortgage types include Traditional Foreign National Loans (requiring foreign income verification), DSCR (Debt Service Coverage Ratio) Loans (qualifying based on property income), and ITIN Loans (for those with an ITIN but no SSN, requiring income verification).
Q: Do international investors need a U.S. credit score to get a mortgage?
A: Not always. While Traditional Foreign National and ITIN loans may look for some credit history (often accepting international credit reports or alternative data), DSCR loans typically do not require a U.S. credit score, as they qualify based on the investment property’s cash flow.
Q: Are mortgage rates higher for international investors than for U.S. citizens?
A: Generally, yes. Due to perceived higher risk and additional underwriting complexities, mortgage rates for international investors (especially for non-QM products like DSCR and ITIN loans) can be slightly higher than the lowest rates available to U.S. citizens with strong credit for conventional loans.
Q: What is a DSCR loan and why is it popular with international investors?
A: A DSCR loan is a type of Non-QM loan where qualification is based on the investment property’s rental income covering its debt. It’s popular with international investors because it often doesn’t require U.S. personal income verification or U.S. credit history, simplifying the financing process for non-residents.
Q: What are typical down payment requirements for international investors?
A: Down payment requirements for international investors are generally higher than for U.S. citizens, typically ranging from 25% to 40% of the property’s purchase price, depending on the loan type and lender.
Q: Should international investors wait for rates to drop before buying U.S. property?
A: While rates are expected to gradually decline, waiting can mean missing out on current opportunities. Many international investors choose to acquire properties now, particularly using DSCR loans, with the strategy of refinancing into a lower rate later if market conditions become more favorable, thus improving their long-term cash flow.
Q: How important are cash reserves for foreign national mortgages?
A: Cash reserves are very important. Lenders typically require international investors to show significant liquid reserves (often 6-12 months of mortgage payments and property expenses) to ensure the ability to cover costs during potential vacancies or unforeseen circumstances.
About the Author
David Garner has over 120+ personal property acquisitions in the U.S. real estate market as a Non-Resident Alien foreigner, bringing extensive practical experience to his insights. He specializes in guiding international investors through the complexities of the U.S. property landscape, focusing on cash flow opportunities, financing, and strategic wealth building. His deep understanding of the market, combined with his client-centric approach, makes him a trusted advisor for global investors seeking to establish and grow their U.S. real estate portfolio.
