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FinanceMortgage rates surge as Iran war escalation drives 30-year fixed to 6.74%
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On Wednesday, September 2, 2026, mortgage rates experienced significant increases across all major loan types, driven by renewed escalation in the Iran war. According to Zillow lender marketplace data, the average 30-year fixed rate rose to 6.74%, up 15 basis points from the previous day. The 15-year fixed rate climbed to 6.16%, a 16 basis point increase, while the 5/1 adjustable-rate mortgage reached 6.46%, up 24 basis points. Refinance rates followed similar upward trends, with the 30-year fixed refinance rate at 6.73%. The article, published by Yahoo Finance and authored by Tim Manni, attributes the sharp rate increases directly to the continued escalation of conflict in the Middle East, specifically the Iran war. The report includes a full breakdown of current mortgage and refinance rates for various loan terms, including VA loans, and provides context for how geopolitical instability is impacting borrowing costs for American homebuyers and homeowners.
Source report
By Tim Manni Wed, September 2, 2026 at 12:16 PM PDT | 5 min read
According to the Zillow lender marketplace, mortgage rates are significantly higher today, following continued escalation in the Middle East.
The average 30-year fixed rate for Wednesday, September 2, 2026, is 6.74%, up 15 basis points since yesterday. The 15-year fixed loan is currently 6.16%, 16 basis points higher than yesterday. The 5/1 ARM stands at 6.46%, up 24 basis points from Tuesday.
Read more: Weekly survey of mortgage lenders with the lowest rates: Minor pricing changes
Today's Mortgage Rates
Here are the current mortgage rates for Wednesday, September 2, 2026, according to the latest Zillow data:
- 30-year fixed: 6.74%
- 20-year fixed: 6.68%
- 15-year fixed: 6.16%
- 5/1 ARM: 6.46%
- 7/1 ARM: 6.36%
- 30-year VA: 6.24%
- 15-year VA: 5.91%
- 5/1 VA: 6.06%
Note: These are national averages and rounded to the nearest hundredth.
Today's Mortgage Refinance Rates
These are today's mortgage refinance rates for Wednesday, September 2, 2026, according to the latest Zillow data:
- 30-year fixed: 6.73%
- 20-year fixed: 6.65%
- 15-year fixed: 6.16%
- 5/1 ARM: 6.51%
- 7/1 ARM: 6.32%
- 30-year VA: 6.23%
- 15-year VA: 5.80%
- 5/1 VA: 5.59%
Note: These are national averages rounded to the nearest hundredth. Mortgage refinance rates are often higher than purchase rates, although that is not always the case.
Use Our Mortgage Calculator
Use the mortgage calculator below to see how various interest rates and loan amounts will affect your monthly payments. It also shows how the term length plays into your payment structure.
- Payment breakdown
- Amortization
- Mortgage payment calculator
You can bookmark the Yahoo Finance mortgage payment calculator and keep it handy for future use as you shop for homes and the best lenders. You even have the option to enter costs for private mortgage insurance (PMI) and homeowners' association dues if those apply to you. These details result in a more accurate monthly payment estimate than if you simply calculated your mortgage principal and interest.
30-Year Fixed Mortgage Rates
There are two main advantages to a 30-year fixed mortgage: Your payments are lower, and your interest rate remains stable for the life of the loan.
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Source
Yahoo FinanceWestern
Part of this Story
Iran war escalation drives 30-year mortgage rate to 6.87%, highest since June 2025