30-Year Fixed Mortgage Rate Holds Steady

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Abstract illustration of houses and charts

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Mortgage rates fall to lowest levels in months.

“Mortgage rates fell slightly again this week, pushing rates to their lowest level since mid-to-late February,” said Zillow Economist Matthew Speakman. “With few surprising economic data or pandemic-related developments this week, mortgage rates and the bond yields that tend to influence them saw little reason to move significantly over the past seven days. Unlike stocks, bonds and mortgage rates brushed aside comments made by Treasury Secretary Janet Yellen, in which she suggested (but did not recommend) that interest rates will likely have to rise somewhat in order to ensure that the economy doesn’t overheat. But this period of relative calm will be put to the test in the coming days. April employment figures and inflation data, two key gauges of the economy’s path forward, are due this week, and stronger-than-expected readings of either – or both – reports will likely revert mortgage rates back upward.”

Additionally, the 15-year fixed mortgage rate was 2.09%, and for 5/1 ARMs, the rate was 2.38%.

Check Zillow for mortgage rate trends and up-to-the-minute mortgage rates for your state, or use the mortgage calculator to calculate monthly payments at the current rates.

The weekly mortgage rate chart above illustrates the average 30-year fixed interest rate for the past week. Here’s a comprehensive look at the current mortgage rates for all loan types:

Today’s Average Rates for Conventional Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed 2.76% 2.81% 0.02%
20-Year Fixed 2.59% 2.66% 0.06%
15-Year Fixed 2.07% 2.16% 0.03%
10-Year Fixed 1.97% 2.05% 0.08%
7/1 ARM 2.2% 2.91% 0.03%
5/1 ARM 2.15% 3.04% 0.03%
3/1 ARM 0% 0% 0%

A 30-Year Fixed loan of $300,000 at 2.76% APR with a $75,000 down payment will have a monthly payment of $1,225. A 20-Year Fixed loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,602. A 15-Year Fixed loan of $300,000 at 2.07% APR with a $75,000 down payment will have a monthly payment of $1,939. A 10-Year Fixed loan of $300,000 at 1.97% APR with a $75,000 down payment will have a monthly payment of $2,756. A 7/1 ARM loan of $300,000 at 2.2% APR with a $75,000 down payment will have a monthly payment of $1,138. A 5/1 ARM loan of $300,000 at 2.15% APR with a $75,000 down payment will have a monthly payment of $1,130. A 3/1 ARM loan of $0 at 0% APR with a $0 down payment will have a monthly payment of $0. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Government Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed FHA 2.35% 3.02% 0.06%
30-Year Fixed VA 2.5% 2.69% 0.11%
15-Year Fixed FHA 2.05% 2.73% 0.21%
15-Year Fixed VA 2.29% 2.64% 0.33%
5/1 ARM FHA 2.59% 2.97% 0.02%
5/1 ARM VA 3.03% 2.59% 0.1%

A 30-Year Fixed FHA loan of $300,000 at 2.35% APR with a $75,000 down payment will have a monthly payment of $1,161. A 30-Year Fixed VA loan of $300,000 at 2.5% APR with a $75,000 down payment will have a monthly payment of $1,185. A 15-Year Fixed FHA loan of $300,000 at 2.05% APR with a $75,000 down payment will have a monthly payment of $1,937. A 15-Year Fixed VA loan of $300,000 at 2.29% APR with a $75,000 down payment will have a monthly payment of $1,971. A 5/1 ARM FHA loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,200. A 5/1 ARM VA loan of $300,000 at 3.03% APR with a $75,000 down payment will have a monthly payment of $1,268. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Jumbo Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed Jumbo 3.21% 3.26% -0%
20-Year Fixed Jumbo 3.17% 3.22% 0.11%
15-Year Fixed Jumbo 2.82% 2.89% -0.02%
10-Year Fixed Jumbo 2.44% 2.5% 0.08%
7/1 ARM Jumbo 2.7% 3.17% -0.04%
5/1 ARM Jumbo 2.78% 3.21% -0.03%
3/1 ARM Jumbo 2.14% 2.74% 0%

A 30-Year Fixed Jumbo loan of $600,000 at 3.21% APR with a $150,000 down payment will have a monthly payment of $2,597. A 20-Year Fixed Jumbo loan of $600,000 at 3.17% APR with a $150,000 down payment will have a monthly payment of $3,378. A 15-Year Fixed Jumbo loan of $600,000 at 2.82% APR with a $150,000 down payment will have a monthly payment of $4,092. A 10-Year Fixed Jumbo loan of $600,000 at 2.44% APR with a $150,000 down payment will have a monthly payment of $5,639. A 7/1 ARM Jumbo loan of $600,000 at 2.7% APR with a $150,000 down payment will have a monthly payment of $2,431. A 5/1 ARM Jumbo loan of $600,000 at 2.78% APR with a $150,000 down payment will have a monthly payment of $2,459. A 3/1 ARM Jumbo loan of $600,000 at 2.14% APR with a $150,000 down payment will have a monthly payment of $2,259. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Source: zillow.com

30-Year Fixed Mortgage Rate Rises

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Abstract illustration of houses and charts

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Mortgage rates fall to lowest levels in months.

“Mortgage rates fell slightly again this week, pushing rates to their lowest level since mid-to-late February,” said Zillow Economist Matthew Speakman. “With few surprising economic data or pandemic-related developments this week, mortgage rates and the bond yields that tend to influence them saw little reason to move significantly over the past seven days. Unlike stocks, bonds and mortgage rates brushed aside comments made by Treasury Secretary Janet Yellen, in which she suggested (but did not recommend) that interest rates will likely have to rise somewhat in order to ensure that the economy doesn’t overheat. But this period of relative calm will be put to the test in the coming days. April employment figures and inflation data, two key gauges of the economy’s path forward, are due this week, and stronger-than-expected readings of either – or both – reports will likely revert mortgage rates back upward.”

Additionally, the 15-year fixed mortgage rate was 2.09%, and for 5/1 ARMs, the rate was 2.38%.

Check Zillow for mortgage rate trends and up-to-the-minute mortgage rates for your state, or use the mortgage calculator to calculate monthly payments at the current rates.

The weekly mortgage rate chart above illustrates the average 30-year fixed interest rate for the past week. Here’s a comprehensive look at the current mortgage rates for all loan types:

Today’s Average Rates for Conventional Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed 2.75% 2.8% 0.03%
20-Year Fixed 2.65% 2.73% -0.01%
15-Year Fixed 2.09% 2.18% 0.01%
10-Year Fixed 1.94% 1.99% 0.14%
7/1 ARM 2.2% 2.91% 0.03%
5/1 ARM 2.15% 3.03% 0.04%
3/1 ARM 0% 0% 0%

A 30-Year Fixed loan of $300,000 at 2.75% APR with a $75,000 down payment will have a monthly payment of $1,223. A 20-Year Fixed loan of $300,000 at 2.65% APR with a $75,000 down payment will have a monthly payment of $1,611. A 15-Year Fixed loan of $300,000 at 2.09% APR with a $75,000 down payment will have a monthly payment of $1,942. A 10-Year Fixed loan of $300,000 at 1.94% APR with a $75,000 down payment will have a monthly payment of $2,752. A 7/1 ARM loan of $300,000 at 2.2% APR with a $75,000 down payment will have a monthly payment of $1,138. A 5/1 ARM loan of $300,000 at 2.15% APR with a $75,000 down payment will have a monthly payment of $1,131. A 3/1 ARM loan of $0 at 0% APR with a $0 down payment will have a monthly payment of $0. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Government Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed FHA 2.3% 2.98% 0.11%
30-Year Fixed VA 2.5% 2.76% 0.04%
15-Year Fixed FHA 2.02% 2.82% 0.12%
15-Year Fixed VA 2.62% 3.09% -0.12%
5/1 ARM FHA 2.59% 2.97% 0.02%
5/1 ARM VA 2.88% 2.52% 0.17%

A 30-Year Fixed FHA loan of $300,000 at 2.3% APR with a $75,000 down payment will have a monthly payment of $1,154. A 30-Year Fixed VA loan of $300,000 at 2.5% APR with a $75,000 down payment will have a monthly payment of $1,185. A 15-Year Fixed FHA loan of $300,000 at 2.02% APR with a $75,000 down payment will have a monthly payment of $1,933. A 15-Year Fixed VA loan of $300,000 at 2.62% APR with a $75,000 down payment will have a monthly payment of $2,017. A 5/1 ARM FHA loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,200. A 5/1 ARM VA loan of $300,000 at 2.88% APR with a $75,000 down payment will have a monthly payment of $1,245. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Jumbo Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed Jumbo 3.24% 3.28% -0.03%
20-Year Fixed Jumbo 3.32% 3.37% -0.03%
15-Year Fixed Jumbo 2.81% 2.89% -0.01%
10-Year Fixed Jumbo 2.44% 2.5% 0.08%
7/1 ARM Jumbo 2.7% 3.17% -0.04%
5/1 ARM Jumbo 2.8% 3.2% -0.02%
3/1 ARM Jumbo 2.14% 2.74% 0%

A 30-Year Fixed Jumbo loan of $600,000 at 3.24% APR with a $150,000 down payment will have a monthly payment of $2,606. A 20-Year Fixed Jumbo loan of $600,000 at 3.32% APR with a $150,000 down payment will have a monthly payment of $3,423. A 15-Year Fixed Jumbo loan of $600,000 at 2.81% APR with a $150,000 down payment will have a monthly payment of $4,089. A 10-Year Fixed Jumbo loan of $600,000 at 2.44% APR with a $150,000 down payment will have a monthly payment of $5,639. A 7/1 ARM Jumbo loan of $600,000 at 2.7% APR with a $150,000 down payment will have a monthly payment of $2,432. A 5/1 ARM Jumbo loan of $600,000 at 2.8% APR with a $150,000 down payment will have a monthly payment of $2,466. A 3/1 ARM Jumbo loan of $600,000 at 2.14% APR with a $150,000 down payment will have a monthly payment of $2,259. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Source: zillow.com

30-Year Fixed Mortgage Rate Hits Yet Another Record Low, Falls Below 3.2 Percent for the First Time

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Abstract illustration of houses and charts

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Mortgage rates fall to lowest levels in months.

“Mortgage rates fell slightly again this week, pushing rates to their lowest level since mid-to-late February,” said Zillow Economist Matthew Speakman. “With few surprising economic data or pandemic-related developments this week, mortgage rates and the bond yields that tend to influence them saw little reason to move significantly over the past seven days. Unlike stocks, bonds and mortgage rates brushed aside comments made by Treasury Secretary Janet Yellen, in which she suggested (but did not recommend) that interest rates will likely have to rise somewhat in order to ensure that the economy doesn’t overheat. But this period of relative calm will be put to the test in the coming days. April employment figures and inflation data, two key gauges of the economy’s path forward, are due this week, and stronger-than-expected readings of either – or both – reports will likely revert mortgage rates back upward.”

Additionally, the 15-year fixed mortgage rate was 2.09%, and for 5/1 ARMs, the rate was 2.38%.

Check Zillow for mortgage rate trends and up-to-the-minute mortgage rates for your state, or use the mortgage calculator to calculate monthly payments at the current rates.

The weekly mortgage rate chart above illustrates the average 30-year fixed interest rate for the past week. Here’s a comprehensive look at the current mortgage rates for all loan types:

Today’s Average Rates for Conventional Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed 2.75% 2.8% 0.03%
20-Year Fixed 2.59% 2.67% 0.05%
15-Year Fixed 2.1% 2.19% -0%
10-Year Fixed 1.99% 2.07% 0.06%
7/1 ARM 2.19% 2.92% 0.03%
5/1 ARM 2.13% 3.03% 0.04%
3/1 ARM 0% 0% 0%

A 30-Year Fixed loan of $300,000 at 2.75% APR with a $75,000 down payment will have a monthly payment of $1,223. A 20-Year Fixed loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,603. A 15-Year Fixed loan of $300,000 at 2.1% APR with a $75,000 down payment will have a monthly payment of $1,944. A 10-Year Fixed loan of $300,000 at 1.99% APR with a $75,000 down payment will have a monthly payment of $2,758. A 7/1 ARM loan of $300,000 at 2.19% APR with a $75,000 down payment will have a monthly payment of $1,136. A 5/1 ARM loan of $300,000 at 2.13% APR with a $75,000 down payment will have a monthly payment of $1,127. A 3/1 ARM loan of $0 at 0% APR with a $0 down payment will have a monthly payment of $0. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Government Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed FHA 2.29% 2.97% 0.11%
30-Year Fixed VA 2.51% 2.77% 0.02%
15-Year Fixed FHA 2% 2.76% 0.18%
15-Year Fixed VA 2.51% 2.97% -0%
5/1 ARM FHA 2.59% 2.97% 0.02%
5/1 ARM VA 2.74% 2.52% 0.17%

A 30-Year Fixed FHA loan of $300,000 at 2.29% APR with a $75,000 down payment will have a monthly payment of $1,153. A 30-Year Fixed VA loan of $300,000 at 2.51% APR with a $75,000 down payment will have a monthly payment of $1,187. A 15-Year Fixed FHA loan of $300,000 at 2% APR with a $75,000 down payment will have a monthly payment of $1,930. A 15-Year Fixed VA loan of $300,000 at 2.51% APR with a $75,000 down payment will have a monthly payment of $2,002. A 5/1 ARM FHA loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,200. A 5/1 ARM VA loan of $300,000 at 2.74% APR with a $75,000 down payment will have a monthly payment of $1,223. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Jumbo Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed Jumbo 3.17% 3.21% 0.04%
20-Year Fixed Jumbo 3.5% 3.55% -0.22%
15-Year Fixed Jumbo 2.78% 2.85% 0.03%
10-Year Fixed Jumbo 2.38% 2.47% 0.1%
7/1 ARM Jumbo 2.69% 3.17% -0.04%
5/1 ARM Jumbo 2.76% 3.2% -0.02%
3/1 ARM Jumbo 2.14% 2.74% 0%

A 30-Year Fixed Jumbo loan of $600,000 at 3.17% APR with a $150,000 down payment will have a monthly payment of $2,583. A 20-Year Fixed Jumbo loan of $600,000 at 3.5% APR with a $150,000 down payment will have a monthly payment of $3,480. A 15-Year Fixed Jumbo loan of $600,000 at 2.78% APR with a $150,000 down payment will have a monthly payment of $4,081. A 10-Year Fixed Jumbo loan of $600,000 at 2.38% APR with a $150,000 down payment will have a monthly payment of $5,622. A 7/1 ARM Jumbo loan of $600,000 at 2.69% APR with a $150,000 down payment will have a monthly payment of $2,430. A 5/1 ARM Jumbo loan of $600,000 at 2.76% APR with a $150,000 down payment will have a monthly payment of $2,452. A 3/1 ARM Jumbo loan of $600,000 at 2.14% APR with a $150,000 down payment will have a monthly payment of $2,259. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Source: zillow.com

30-Year Fixed Mortgage Rate Hovers Above All-Time Low

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Abstract illustration of houses and charts

As of May 5, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.72%.

Mortgage rates fall to lowest levels in months.

“Mortgage rates fell slightly again this week, pushing rates to their lowest level since mid-to-late February,” said Zillow Economist Matthew Speakman. “With few surprising economic data or pandemic-related developments this week, mortgage rates and the bond yields that tend to influence them saw little reason to move significantly over the past seven days. Unlike stocks, bonds and mortgage rates brushed aside comments made by Treasury Secretary Janet Yellen, in which she suggested (but did not recommend) that interest rates will likely have to rise somewhat in order to ensure that the economy doesn’t overheat. But this period of relative calm will be put to the test in the coming days. April employment figures and inflation data, two key gauges of the economy’s path forward, are due this week, and stronger-than-expected readings of either – or both – reports will likely revert mortgage rates back upward.”

Additionally, the 15-year fixed mortgage rate was 2.09%, and for 5/1 ARMs, the rate was 2.38%.

Check Zillow for mortgage rate trends and up-to-the-minute mortgage rates for your state, or use the mortgage calculator to calculate monthly payments at the current rates.

The weekly mortgage rate chart above illustrates the average 30-year fixed interest rate for the past week. Here’s a comprehensive look at the current mortgage rates for all loan types:

Today’s Average Rates for Conventional Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed 2.77% 2.82% 0.11%
20-Year Fixed 2.64% 2.71% 0.05%
15-Year Fixed 2.09% 2.18% 0.03%
10-Year Fixed 2.07% 2.18% -0.11%
7/1 ARM 2.21% 2.92% 0.26%
5/1 ARM 2.18% 3.04% 0.21%
3/1 ARM 0% 0% 0%

A 30-Year Fixed loan of $300,000 at 2.77% APR with a $75,000 down payment will have a monthly payment of $1,227. A 20-Year Fixed loan of $300,000 at 2.64% APR with a $75,000 down payment will have a monthly payment of $1,610. A 15-Year Fixed loan of $300,000 at 2.09% APR with a $75,000 down payment will have a monthly payment of $1,943. A 10-Year Fixed loan of $300,000 at 2.07% APR with a $75,000 down payment will have a monthly payment of $2,769. A 7/1 ARM loan of $300,000 at 2.21% APR with a $75,000 down payment will have a monthly payment of $1,140. A 5/1 ARM loan of $300,000 at 2.18% APR with a $75,000 down payment will have a monthly payment of $1,136. A 3/1 ARM loan of $0 at 0% APR with a $0 down payment will have a monthly payment of $0. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Government Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed FHA 2.41% 3.07% 0.16%
30-Year Fixed VA 2.48% 2.74% 0.11%
15-Year Fixed FHA 2.23% 2.93% 0.09%
15-Year Fixed VA 2.44% 2.91% 0.15%
5/1 ARM FHA 2.59% 2.97% 0.02%
5/1 ARM VA 3.18% 2.78% -0.23%

A 30-Year Fixed FHA loan of $300,000 at 2.41% APR with a $75,000 down payment will have a monthly payment of $1,171. A 30-Year Fixed VA loan of $300,000 at 2.48% APR with a $75,000 down payment will have a monthly payment of $1,182. A 15-Year Fixed FHA loan of $300,000 at 2.23% APR with a $75,000 down payment will have a monthly payment of $1,962. A 15-Year Fixed VA loan of $300,000 at 2.44% APR with a $75,000 down payment will have a monthly payment of $1,992. A 5/1 ARM FHA loan of $300,000 at 2.59% APR with a $75,000 down payment will have a monthly payment of $1,200. A 5/1 ARM VA loan of $300,000 at 3.18% APR with a $75,000 down payment will have a monthly payment of $1,293. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Jumbo Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed Jumbo 3.2% 3.25% 0.09%
20-Year Fixed Jumbo 3.28% 3.32% 0.25%
15-Year Fixed Jumbo 2.8% 2.87% 0.12%
10-Year Fixed Jumbo 2.5% 2.6% 0.1%
7/1 ARM Jumbo 2.69% 3.17% -0.35%
5/1 ARM Jumbo 2.77% 3.22% -0.25%
3/1 ARM Jumbo 2.14% 2.74% 0%

A 30-Year Fixed Jumbo loan of $600,000 at 3.2% APR with a $150,000 down payment will have a monthly payment of $2,594. A 20-Year Fixed Jumbo loan of $600,000 at 3.28% APR with a $150,000 down payment will have a monthly payment of $3,411. A 15-Year Fixed Jumbo loan of $600,000 at 2.8% APR with a $150,000 down payment will have a monthly payment of $4,084. A 10-Year Fixed Jumbo loan of $600,000 at 2.5% APR with a $150,000 down payment will have a monthly payment of $5,656. A 7/1 ARM Jumbo loan of $600,000 at 2.69% APR with a $150,000 down payment will have a monthly payment of $2,429. A 5/1 ARM Jumbo loan of $600,000 at 2.77% APR with a $150,000 down payment will have a monthly payment of $2,454. A 3/1 ARM Jumbo loan of $600,000 at 2.14% APR with a $150,000 down payment will have a monthly payment of $2,259. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Source: zillow.com

30-Year Fixed Mortgage Rate Falls to New Record Low

As of April 28, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.78%.

Abstract illustration of houses and charts

As of April 28, the rate borrowers were quoted on Zillow for 30-year fixed mortgages was 2.78%.

Mortgage rates fall despite strong economic data reports.

“Mortgage rates fell again this week, continuing the downward trend they’ve exhibited for most of April,” said Zillow Economist Matthew Speakman. “In what was a relatively unremarkable week for mortgage rates, the modest movement was partially driven by discussions about a proposed increase in capital gains tax rates – which placed downward pressure on bond yields and thus rates – and anticipation of a key announcement by the Federal Reserve. Fed Chair Jerome Powell reiterated on Wednesday that the Central Bank has no immediate plans to increase interest rates or curb the purchases of mortgage-backed securities – a position that placed more downward pressure on bond yields and is likely to result in more mortgage decreases in the coming days. Looking ahead, with a slew of key economic reports on the horizon – including consumer spending and inflation data – the relatively muted mortgage rate activity from the past couple weeks may transition to more significant movements.”

Additionally, the 15-year fixed mortgage rate was 2.11%, and for 5/1 ARMs, the rate was 2.55%.

Check Zillow for mortgage rate trends and up-to-the-minute mortgage rates for your state, or use the mortgage calculator to calculate monthly payments at the current rates.

The weekly mortgage rate chart above illustrates the average 30-year fixed interest rate for the past week. Here’s a comprehensive look at the current mortgage rates for all loan types:

Today’s Average Rates for Conventional Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed 2.8% 2.85% 0.08%
20-Year Fixed 2.65% 2.72% 0.05%
15-Year Fixed 2.09% 2.16% 0.05%
10-Year Fixed 2.03% 2.15% -0.08%
7/1 ARM 2.41% 3.05% 0.12%
5/1 ARM 2.26% 3.08% 0.17%
3/1 ARM 0% 0% 0%

A 30-Year Fixed loan of $300,000 at 2.8% APR with a $75,000 down payment will have a monthly payment of $1,232. A 20-Year Fixed loan of $300,000 at 2.65% APR with a $75,000 down payment will have a monthly payment of $1,611. A 15-Year Fixed loan of $300,000 at 2.09% APR with a $75,000 down payment will have a monthly payment of $1,942. A 10-Year Fixed loan of $300,000 at 2.03% APR with a $75,000 down payment will have a monthly payment of $2,764. A 7/1 ARM loan of $300,000 at 2.41% APR with a $75,000 down payment will have a monthly payment of $1,170. A 5/1 ARM loan of $300,000 at 2.26% APR with a $75,000 down payment will have a monthly payment of $1,147. A 3/1 ARM loan of $0 at 0% APR with a $0 down payment will have a monthly payment of $0. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Government Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed FHA 2.33% 2.99% 0.25%
30-Year Fixed VA 2.56% 2.76% 0.1%
15-Year Fixed FHA 1.88% 2.54% 0.49%
15-Year Fixed VA 2.5% 2.87% 0.19%
5/1 ARM FHA 2.65% 2.99% -0%
5/1 ARM VA 2.72% 2.5% 0.06%

A 30-Year Fixed FHA loan of $300,000 at 2.33% APR with a $75,000 down payment will have a monthly payment of $1,158. A 30-Year Fixed VA loan of $300,000 at 2.56% APR with a $75,000 down payment will have a monthly payment of $1,195. A 15-Year Fixed FHA loan of $300,000 at 1.88% APR with a $75,000 down payment will have a monthly payment of $1,913. A 15-Year Fixed VA loan of $300,000 at 2.5% APR with a $75,000 down payment will have a monthly payment of $2,000. A 5/1 ARM FHA loan of $300,000 at 2.65% APR with a $75,000 down payment will have a monthly payment of $1,209. A 5/1 ARM VA loan of $300,000 at 2.72% APR with a $75,000 down payment will have a monthly payment of $1,220. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Today’s Average Rates for Jumbo Loans

Program Interest Rate APR 1 Wk Change
30-Year Fixed Jumbo 3.2% 3.24% 0.1%
20-Year Fixed Jumbo 3.26% 3.3% 0.27%
15-Year Fixed Jumbo 2.84% 2.92% 0.08%
10-Year Fixed Jumbo 2.63% 2.7% 0%
7/1 ARM Jumbo 2.68% 3.18% -0.36%
5/1 ARM Jumbo 2.78% 3.21% -0.25%
3/1 ARM Jumbo 2.14% 2.74% 0%

A 30-Year Fixed Jumbo loan of $600,000 at 3.2% APR with a $150,000 down payment will have a monthly payment of $2,593. A 20-Year Fixed Jumbo loan of $600,000 at 3.26% APR with a $150,000 down payment will have a monthly payment of $3,406. A 15-Year Fixed Jumbo loan of $600,000 at 2.84% APR with a $150,000 down payment will have a monthly payment of $4,097. A 10-Year Fixed Jumbo loan of $600,000 at 2.63% APR with a $150,000 down payment will have a monthly payment of $5,690. A 7/1 ARM Jumbo loan of $600,000 at 2.68% APR with a $150,000 down payment will have a monthly payment of $2,428. A 5/1 ARM Jumbo loan of $600,000 at 2.78% APR with a $150,000 down payment will have a monthly payment of $2,457. A 3/1 ARM Jumbo loan of $600,000 at 2.14% APR with a $150,000 down payment will have a monthly payment of $2,259. All monthly payments displayed assume a maximum Loan to Value (LTV) of 80% and 740 credit score, and do not include amount for taxes and insurance. The actual monthly payment may be greater.

Source: zillow.com

Now You Can Get a 30-Year Fixed at 3.25%

low rate

We all know mortgage rates are low, but this is seemingly ridiculous.

The New Hampshire Housing Finance Authority is currently offering a mortgage rate as low as 3.25% on a 30-year fixed-rate mortgage.

And that’s with as little as 3.5% down (FHA loan). Of course, there are several strings attached. There are income and purchase price limits in place, and the property must qualify for the financing.

Only certain homes in certain areas are eligible, and underwriting is probably pretty darn strict, but it still illustrates how low interest rates have fallen in recent weeks and months.

But is the rate really as low as it appears?

While the NHHFA (possibly a made-up acronym) is pitching the 3.25% rate, the APR is actually significantly higher. In fact, it’s 4.158%.

What gives?

Well, there are a number of fees, including two mortgage points that must be paid to get that low rate.  The par rate is actually 3.50%.

So it’s not necessarily as low as it seems. But the APR does factor in private mortgage insurance, and likely everything else that you must pay at closing.

There’s a problem with APR though – it varies so much from lender to lender that it’s not always possible to get an apples-to-apples comparison when mortgage quote shopping.

[Mortgage rate vs. APR]

For instance, over at the Zillow Mortgage Marketplace, the best advertised quote delivered today was a rate of 3.875% on a 30-year fixed.

The APR was 4.018%, lower than the 3.25% rate offered by the NHHFA.

Why? Well, for one the mortgage discount fee is only 1.50%. And the loan-to-value ratio is 80%, meaning the borrower must come in with a 20% down payment.

The New Hampshire deal only requires a 3.5% down payment, and borrowers can even receive a grant so long as they bring in at least one percent of their own funds.

[Why are mortgage rates different?]

The fees on the Zillow quote are probably also smaller/fewer, which drives down the APR, but who knows exactly what’s being included.

Lowest Rate Not Always the Best Deal

So the takeaway here is that the lowest mortgage rate doesn’t always equate to the best deal.

And it’s only a matter of time before someone comes out with a 30-year fixed at 2.99% or something similarly outrageous.

Just make sure it’s actually a good deal for you. What I mean by that is that the super low rate actually benefits you.

If you don’t plan to pay off your mortgage or stay in your home long term, buying down an interest rate to a psychological level doesn’t make a lot of sense.

Sure, you can brag to your neighbors that you’ve got the lowest rate in history, but you may have wasted money obtaining it.

And a slightly higher rate may make more sense if your money is better invested somewhere other than housing, somewhere more liquid.

Finally, when you’re buying down your interest rate, be sure to find a certain point where the cost and the associated rate make the most sense (do the math!).

You probably won’t want to pay an extra or point or two to lower your rate just a .125 or a .25 of a point for bragging rights alone.

About the Author: Colin Robertson

Before creating this blog, Colin worked as an account executive for a wholesale mortgage lender in Los Angeles. He has been writing passionately about mortgages for 15 years.

Source: thetruthaboutmortgage.com

Home Builders: Housing ‘Highly Affordable’

reduced

Housing affordability remained near its highest level on record for the sixth consecutive quarter, according to the latest survey from the National Association of Home Builders.

The National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) indicated that 72.3 percent of all new and existing homes sold during the second quarter were affordable to families earning the national median income of $64,400.

That’s up slightly from the first quarter and just shy of the record-high 72.5 percent seen in the first quarter of 2009.

Before 2009, the affordability index rarely topped 67 percent, and had never reached the 70 percent-mark.

But record low mortgage rates and falling home prices have opened the door for more buyers, less the tighter underwriting environment.

Kinda makes you wonder why no one is interested in buying a home these days – maybe affordability isn’t the driver.

After all, a ton of buyers pre-mortgage crisis couldn’t even afford to make their mortgage payments in the conventional sense, so they opted for mortgage programs with teaser rates like the option arm.

Perhaps they were more interested in the thought of home price appreciation, as opposed to simply living in a home.

Syracuse, NY Most Affordable Housing Market

The most affordable major housing market in the country was Syracuse, NY, pushing Indianapolis-Carmel, IN off the top spot, which it held for almost five years.

Nearly all (97.2%) of the homes sold there were affordable to households earning the median family income of $64,300.

Detroit, Youngstown, and Buffalo also made the list of the most affordable metros.

Meanwhile, the New York-White Plains-Wayne, NY-NJ area continued to be the least affordable major housing market during the second quarter, with just 19.9 percent of all homes sold deemed affordable to those earning the median income of $65,600.

Los Angeles, the Bay area, and Honolulu continued to linger at the bottom of the affordability scale during the quarter as well.

Read more: What mortgage can I afford on my salary?

About the Author: Colin Robertson

Before creating this blog, Colin worked as an account executive for a wholesale mortgage lender in Los Angeles. He has been writing passionately about mortgages for 15 years.

Source: thetruthaboutmortgage.com

A 30-Year Fixed in the 3% Range? Maybe, But Does Anyone Care?

Last updated on December 19th, 2017

party

The good news about the continued economic uncertainty is interest rates keep slipping lower and lower.

The basic principle with regard to mortgage rates is that bad economic news pushes them down, and good news makes them rise. Fairly simple.

And so over the past few weeks, mortgage rates have been inching back toward what could be new all-time record lows.

In fact, there’s even talk of the popular 30-year fixed-rate mortgage falling into the 3% range, which is certainly uncharted territory. Hooray! Pop the champagne, right?

Right now you can get your hands on a 30-year fixed in the high 3% range if you pay several mortgage discount points at closing, but clearly not everyone has the money nor wants to buy down their interest rate.

It just doesn’t make sense given all the “uncertainty.” And yes, I only quoted that to emphasize

Still, rates are so low that some fence sitters may be looking to buy real estate again, especially first-time home buyers with no existing home equity concerns.

Current Homeowners Trapped

You see, those who already own a home are kind of trapped – despite mortgage rates marching to new all-time lows, property values are also sinking.

So these people can’t put their home on the market unless they’ve got some serious home equity.

And the only people who do are those who purchased before the housing boom and didn’t elect to take a cash-out refinance or home equity line of credit at any point during the housing run-up.

Unfortunately, this is a select few, so the unprecedented mortgage rates aren’t having their desired effect.

This is evidenced by the lackluster mortgage application and pending home sale figures that continue to be reported each month.

Strange that no one seems to care about mortgage rates this low, isn’t it? But is it a lack of care, or more a lack of confidence in housing and the economy at large?

Housing No Longer the Ultimate Investment

It seems nobody is interested in buying a home, despite being able to actually afford one now, probably because they won’t be able to “flip it” and “make millions” overnight.

That was the draw of purchasing a home during the run-up and subsequent bubble. To get rich. That mentality seems to have vanished, so who cares about low mortgage rates?

Sure, your monthly mortgage payment will be super low and you’ll be able to buy a larger home, but without kick-butt appreciation, what’s the point? Why not just rent?

Perhaps that’s the mentality now – it’s not a sure thing anymore, so why take the risk and go through the trouble?

Interestingly, low mortgage rates can matter a lot more than home prices. I wrote about the two previously.

The scary part though is if prospective home buyers aren’t biting now, who will be once mortgage rates rise?

And what will happen to home prices if rates rise to more sustainable, natural levels? Will they too need to plummet to garner any interest?

Perhaps I’m being overly cynical, but you’d think there would be more excitement about mortgage rates this low.

About the Author: Colin Robertson

Before creating this blog, Colin worked as an account executive for a wholesale mortgage lender in Los Angeles. He has been writing passionately about mortgages for 15 years.

Source: thetruthaboutmortgage.com

Non-QRM Mortgage Rates May Be One Point Higher

Last updated on November 30th, 2011

higher

In case you haven’t heard, Congress has been hard at work setting new standards for mortgages so we don’t see another housing crisis any time soon.

Specifically, they’re working on a so-called Qualified Residential Mortgage, which would be exempt from risk retention rules, meaning mortgage lenders wouldn’t have to hold on to a piece of the mortgage after loan origination.

So far, regulators have floated the idea of 20 percent down payments for purchase-money mortgages and anywhere from 25-30 percent home equity for refinance transactions.

This has obviously caused an uproar in the industry, with opponents claiming most homeowners will never be able to save the necessary money to buy or refinance.

Of course, there will still be plenty of options for those not eligible for a QRM, such as an FHA loan or a conventional mortgage loan.

But now the “Community Mortgage Banking Project” has taken shape to ensure the QRM doesn’t ruin a potential housing recovery and rattle the already severely damaged mortgage market.

The group includes tons of big names, including the American Bankers Association, the Center for Responsible Lending, the Mortgage Bankers Association, the National Association of Home Builders, and the Mortgage Insurance companies of America, to name but a few.

They claim mortgage rates on non-QRMs could be anywhere from 75-100 basis points higher than QRMs.

For example, someone who’s able to put down 20 percent may be able to snag a rate of 4.50 percent, while the prospective homeowner putting down only five to 10 percent would be stuck with a rate of 5.25 percent, and as high as 6.35 percent in certain cases.

Clearly this would make mortgage payments shoot up, and dampen a recovery.

But regulators have suggested that risk retention will only result in a 10 to 15 basis point increase in mortgage rates.

It’ll be interesting to see how this plays out…I’m assuming a smaller down payment requirement will result.

Read more: Are mortgage rates negotiable?

About the Author: Colin Robertson

Before creating this blog, Colin worked as an account executive for a wholesale mortgage lender in Los Angeles. He has been writing passionately about mortgages for 15 years.

Source: thetruthaboutmortgage.com

Mortgage Rates Lowest Ever, Woo.

Last updated on December 19th, 2017

celebrate

About a month ago, I discussed whether mortgage rates could drop any lower. At that time, the en vogue 30-year fixed-rate mortgage averaged 4.32%, per Freddie Mac data.

Today, expectedly, it hit a fresh all-time low, falling to 4.12%. Freddie attributed it to “market concerns over Eurozone sovereign debt default and a weak U.S. employment report for August.”

In other words, more bad economic news we all knew was coming came through the door, putting downward pressure on bond yields, which go hand in hand with mortgage rates.

This was no surprise, given the ongoing negative sentiment that simply won’t go away. The good news is that all the stock market swings are making someone rich, but probably not you or I.

It almost seems orchestrated now, the upswing, the downswing, and repeat. Meanwhile, mortgage rates go up, go down, hover in place, and repeat.

Of course, rates have been trending lower and lower because economic news got progressively worse after a brief bright spot.

But I still believe there probably isn’t much more rates can do in the improvement category. Why?

Well, the 10-year bond yield, which essentially dictates their direction, has a historic floor of around 2%, which happens to be its current level, more or less.

It hit a low of 1.93% earlier this week, but has since risen back above 2%. It’s rock-bottom, at least historically, so chances are it doesn’t get any better.

And, as I mentioned in the previous article, most banks and corporations are much better positioned now than they were when the mortgage crisis first struck.

While things are certainly bad, there’s not really too much new drama. There are a lot of lingering problems that will take a long time to sort out, but probably nothing that would surprise any of us at this point.

That said, mortgage rates on the popular 30-year may flirt with the 3% range, but likely won’t do much more than that.

Does Anybody Really Care?

Regardless, nobody seems to be interested in the low mortgage rates anyway.

Purchase-money mortgage applications continue to falter, at a time when affordability for first-time home buyers is at unprecedented levels.

That’s due to a lack of confidence, a lack of employment, and so on. And perhaps a view that buying a home now is like catching a falling knife.

Move-up buyers are screwed because they’ve got no home equity to use as a down payment, let alone to offload their current home, and those looking to do a simple rate and term refinance are stifled by the same problem, assuming the government doesn’t step in soon.

Finally, mortgage lenders could actually be holding rates a bit higher than they need to be (Chase) to keep demand in line with their reduced staff and risk appetite.

So even if they could go lower, they may not. Either way, I don’t think it’s mortgage rates that are holding us back, it’s real estate in general.  It’s just not that attractive anymore.

If you’re wondering whether to lock in your mortgage rate or float it, note that the Fed is considering buying more long-term Treasuries to lower mortgage rates.  But this is only expected to lower rates by 0.1 or 0.2 percent.

Again, I see 3.99% pretty much being the bottom for the 30-year fixed.  What do you think?  Comment below.

Read more: Mortgage rates vs. home prices.

(photo: rightee)

About the Author: Colin Robertson

Before creating this blog, Colin worked as an account executive for a wholesale mortgage lender in Los Angeles. He has been writing passionately about mortgages for 15 years.

Source: thetruthaboutmortgage.com