In September, the national average 30-year fixed purchase mortgage rate averaged 7.03%, according to Bank Rate Monitor data. New Bankrate data shows borrowers using its competitive lender auction secured an average rate of 6.32% to-date in September, with an estimated 473 borrowers projected to benefit. In August, when rates averaged 6.71%, Bankrate auction borrowers secured an average rate of 5.94%. Rates available through Bankrate’s auction also beat more than 99.7% of those surveyed across 600+ banks and credit unions.
Bankrate’s mortgage auction platform has generated an estimated $98 million in cumulative savings for approximately 5,100 borrowers with fixed rate purchase mortgages through September 2026, with marketplace rates averaging roughly 81 basis points below the national average across the year, as lenders competed for borrowers’ business.
“Rates just moved above 7% for the first time in more than a year, and that’s exactly the moment competition matters most,” said Matt Fellowes, CEO of Bankrate. “Our marketplace puts up to hundreds of lenders in real-time competition for a borrower’s business, and this year alone that competition has already put $98 million back into consumers’ pockets. As rates climb, the cost of accepting the first offer you’re handed, instead of shopping for it, climbs right along with it.”
This comes as Bankrate’s own research reveals a bigger cost facing mortgage borrowers behind the headline rate. Exclusive Bankrate research published earlier this year, the Hidden Homeownership Tax, found that 87% of American mortgage borrowers paid above the most competitive rate available to them in 2025, costing the typical borrower $3,343 a year, or $78,186 over the life of the loan, and an estimated $65 billion annually across mortgages originated since 2022.
“Every basis point counts more when the starting rate is 7% instead of 5%,” Fellowes said. “The consumers coming through our marketplace this year show the value of real-time lender competition, particularly in a high-rate environment.”
Methodology
Mortgage lifetime value figures reflect the difference between the selected Bankrate rate and the national average market rate, applied over a 77-month average loan duration. Funded-loan volume is modeled by applying historical fund rates to lead and click volume through Bankrate’s mortgage marketplace; figures are therefore approximate and reported as estimates. September’s rate advantage reflects the difference between Bankrate’s average marketplace rate and Bank Rate Monitor’s national 30-year mortgage rate for the month for comparable loan profiles that month. Full-year 2026 mortgage value is pacing roughly in line with 2025 (approximately $125 million vs. $132 million); this release focuses on the savings generated for borrowers through Bankrate’s marketplace in 2026. Figures on mortgage overpayment are drawn from Bankrate’s 2026 research report, The Hidden Homeownership Tax, which compared 3.2 million 2025 HMDA mortgage originations against binding offers from Bankrate’s mortgage marketplace.
About Bankrate
Bankrate is where Americans go to get the best price on life’s most important financial decisions. By combining proprietary data, advanced technology, and deep market coverage, Bankrate helps consumers compare options and make confident financial choices across mortgages, credit cards, savings, and more. As a rate provider to the Federal Reserve and the benchmark relied upon by major publishers and policymakers nationwide, Bankrate’s rate data is the national standard. This commitment to precision is reflected across all its products. In mortgages, proprietary auction technology puts lenders in real-time competition on price alone, consistently delivering rates in the lowest 10% in the country. For deposits, the platform features exclusively top-tier rates in the top 10% nationally, while its credit card coverage encompasses more than 90% of the market by volume. Founded by a journalist, Bankrate remains dedicated to its founding mission of transparency, honest information, and real competition — helping to make the American dream more affordable for everyone.
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