September 20, 2022—Mortgage Rate Advance – Forbes Advisor

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The current average rate for a 30-year fixed mortgage is 6.39%, down from 6.16% a week earlier.

For borrowers who want a shorter mortgage, the average 15-year fixed mortgage rate is 5.70%, up 0.29% from the previous week.

If you want to get a lower rate by refinancing, compare your current mortgage rate to today’s refinance rates.

Related: Compare current mortgage rates

Mortgage rates as of September 20, 2022

30-year mortgage rates

Today’s 30-year fixed rate mortgage, the most popular mortgage product, is 6.39%, up 0.23% from the previous week. Over the past 52 weeks, the lowest rate was 5.26% and the highest was 6.41%.

The interest rate is just one of the fees included in your mortgage. You will also pay lender fees, which differ from lender to lender. Interest rates and lender fees are factored into the annual percentage rate, or APR. This week, the APR on a 30-year fixed rate mortgage is 6.40%. Last week, the APR was 6.17%.

Let’s say your home loan is $100,000 and you have a 30 year fixed rate mortgage with the current rate of 6.39%, your monthly payment will be approximately $625 including principal and interest (taxes and fees not included), the Forbes mortgage calculator shows. This represents approximately $124,946 in total interest over the life of the loan.

15-year mortgage rates

The average interest rate on the 15-year fixed mortgage is 5.70%. At this time last week, the 15-year fixed rate mortgage was at 5.41%. Today’s rate is above the 52-week low of 4.62%.

The APR on a fixed 15-year term is 5.72%. It was 5.43% this time last week.

At the current interest rate of 5.70%, a 15-year fixed rate mortgage would cost approximately $828 per month in principal and interest per $100,000. You would pay approximately $48,992 in total interest over the life of the loan.

Giant Mortgage Rates

The current average interest rate on a 30-year fixed rate jumbo mortgage is 6.37%. Last week, the average rate was 6.17%. Over the past year, the rate on a giant 30-year mortgage has been as high as 6.42% and as low as 5.19%.

If you lock in the current rate of 6.17% on a giant 30-year fixed-rate mortgage, you’ll pay $624 a month in principal and interest for every $100,000 of financing. This means that on a $750,000 loan, the monthly principal and interest payment would be approximately $4,681, and you would pay approximately $933,566 in total interest over the term of the loan.

5/1 ARM interest rate

Currently, the average interest rate on a 5/1 ARM is 4.88%, up from a 52-week low of 4.11%. Last week, the average rate was 4.61%.

Borrowers with a 5/1 ARM of $100,000 with a current interest rate of 4.88% will be spending $530 per month in principal and interest.

Where are mortgage rates going this year?

Home loan rates have soared this year, from 3.22% in early January to 6.39% this week for the most popular 30-year fixed rate mortgage. What happens next is anyone’s guess: a Forbes Advisor survey of experts predicts the year-end average between 5% and nearly 7%. If you’re looking for a mortgage right now, check out several lenders and lock in a rate as soon as a competitive offer comes along.

What is an APR and why is it important?

The annual percentage rate, or APR, encompasses the mortgage interest rate and lender fees over the full term of the loan. This is important because it can give buyers a more complete picture of the total costs, not just the interest rate.

Comparing APR between lenders is a better way to see overall costs, as it will show you everything from interest rates to fees.

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