Mortgages Rates Increase For November Amid Government Shutdown

Despite the government shutdown, mortgage rates have increased for early November, following weeks of declines and the overall trend for 2025. The average 30-year fixed-rate mortgage is now 6.22%, marking an increase of five basis points, while still sitting 57 basis points lower than at the same time in 2024. Short-term mortgages, those with terms of 15 years or less, are up by nine basis points, sitting at 5.50%; however, they, too, are much lower year-over-year. While rates did rise slightly from their previous percentages, they continue to hold steady below the higher threshold set in 2024. These changes should stay on the radar of anyone interested in buying a house in 2025.

This rate announcement comes after mortgage rates have been trending downward over the past few weeks. The Federal Reserve had its second rate cut on October 29, noting that inflation remained elevated while job growth continued to slow. The Federal Reserve Committee opted to lower its rates, which in turn helped mortgage rates decrease. This slight increase is a reflection of continued uncertainty and ongoing inflation concerns. The government shutdown began on October 1, 2025, and is now the longest in U.S. history. More than 650,000 employees are furloughed, while 730,000 individuals are working without paychecks, creating even more anxiety about the state of the economy, particularly in areas with a high population of government workers, such as Washington, D.C., Maryland, and Virginia. Without guaranteed income, home purchases remain out of reach for thousands of Americans.

Potential buyers could expect to see mortgage rates continue to decline slightly in 2026 as the Federal Reserve works to stabilize the economy and get the country back on track financially. Homes are still lingering on the market for an average of two months, a trend that may continue as the U.S. economy fluctuates. How long it takes the government to rebound from the shutdown and inflation is unclear, but some rate decreases might help. 

For now, homebuyers should plan their purchase carefully. Things are still up in the air, with only modest rate changes expected through to December and beyond. The winter typically features lower housing inventory; however, this could change if the economy continues to struggle amid a lingering shutdown. If you're a potential homebuyer looking to get a mortgage, it's a good idea to compare lenders and try to lock in a favorable rate when available, so your rate won't change between offer and closing day, barring any changes in your application. This way, if the rates increase again — even slightly — you can save on your final costs.