Falling Treasury Yields and Oil Prices Drive 30-Year Refinance Rates to 6.55%
PR
Parker Remington
Fed interest rate decision · Apr 14, 2026
Source: DojiDoji Data Terminal
The average 30-year fixed refinance rate fell to 6.55% on April 14, 2026. This represents a 26-basis-point plunge from 6.81% in a single day and a 14-basis-point drop from last week's average of 6.69%. The 15-year fixed refinance rate fell to 5.68%, down 13 basis points from last week, while the 5-year ARM refinance rate held steady at 7.38%.
These declines followed a drop in WTI crude oil to $95.63 a barrel from $112.61 and a decrease in the 10-year Treasury yield to 4.317%. The Federal Reserve has maintained the federal funds rate between 3.50% and 3.75%, signaling a cautious approach to inflation.
Despite the lower rates, refinance demand remains subdued. Applications for refinancing fell 3% in the week ending April 3, 2026, and refinances now account for 44.3% of all mortgage applications, down from approximately 60% in mid-January. Rate-and-term refinance locks dropped 34% in March.
Borrowers are instead utilizing home equity. Cash-out refinances increased 9% in March as homeowners avoid replacing low-rate first mortgages. Homeowners currently hold $11 trillion in tappable equity.