Mortgage Rates Update: December 4th, 2025
- Bill Knudson
- Dec 6, 2025
- 1 min read
The market saw a significant and welcome shift for the week ending December 4, 2025, as 30-year fixed mortgage rates resumed a steady decline. The 30-year rate fell by 7 basis points (bp), settling at 6.19%. This strong movement was synchronized with the Treasury market, which saw the 10-Year T-Note rate decrease by a similarly meaningful 8bp.
The convergence of these movements led to a slight 1bp tightening of the spread, a critical sign that risk premiums in the mortgage sector are stabilizing alongside the underlying benchmark yields. This is precisely the kind of coherent market behavior we look for as experienced economists.
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Key Developments
The 30-Year Fixed Mortgage Rate is 6.19%.
The 10-Year T-Note Rate stands at 4.11%.
The Current Spread is 208bp.
The spread remains 40bp above the historical average of 168bp.
This overall rate decline provided tangible relief to borrowers. The monthly payment for a $100,000 loan decreased by $4 to $612/mo. While the 40bp cushion over the historical average indicates that lenders still maintain a healthy risk buffer, the coordinated drop in both mortgage and Treasury rates suggests growing investor confidence heading into the end of the year.
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