30-year fixed mortgage interest rates
The average rate for a 30-year fixed-rate mortgage is 2.94 percent, climbing 12 basis points over the previous seven days. One month ago, the average interest rate on a 30-year mortgage was lower, at 2.90 percent. Today’s 30-year rate is 119 bps below the average annual rate in 2019, making it a great time to get a fixed-rate mortgage.
At today’s average interest rate, you’ll pay principal and interest of $418.37 for every $100,000 you borrow. That’s up $6.41 from last Wednesday. Compared to a month ago, that’s $2.14 higher.
View today’s daily mortgage rates articles to understand how other rates moved.
30-year fixed refi rates
Today’s average 30-year fixed refinance rate is 2.99 percent, an increase of 13 basis points over the past week. A month ago, the average rate on a 30-year mortgage was 2.95 percent.
At the current average rate, you’ll pay principal and interest of $421.06 for every $100,000 you borrow. Compared to last week, that’s $6.97 higher. Compared to a month ago, that’s $2.15 higher.
Bankrate average annual 30-year fixed mortgage rate, 2008-2019
Year | Average 30-Year Fixed Annual Rate |
---|---|
2008 | 6.23% |
2009 | 5.38% |
2010 | 4.86% |
2011 | 4.65% |
2012 | 3.88% |
2013 | 4.16% |
2014 | 4.31% |
2015 | 3.99% |
2016 | 3.79% |
2017 | 4.14% |
2018 | 4.70% |
2019 | 4.13% |
30-year fixed mortgage vs. 15-year fixed mortgage
The main downside of a 30-year fixed-rate mortgage is the amount of interest you’ll pay. Mortgage rates are typically higher for 30-year loans than 15-year loans. Although your monthly payments will be lower for a 30-year loan, you’ll pay much more interest over the life of the loan.
For example, with a 15-year fixed-rate mortgage, you’ll slash your repayment time in half and save significantly on interest in the process. Compare how much interest you’ll pay on 15-year and 30-year loans with Bankrate’s 15-year or 30-year fixed mortgage calculator.
Mortgage lock recommendations
A rate lock guarantees a lender will honor a specified interest rate at a specific cost for a set period. The benefit of a mortgage rate lock is that it protects you from market fluctuations. It also puts pressure on borrowers to make sure they close on homes before the rate-lock period expires. For example, if your lender locks in your rate at 3.75 percent for 45 days and rates jump up to 4 percent within that period, you’ll still get your loan at the lesser rate.
If they choose not to lock in your rate, you’ll have a “floating” rate. That’s not a bad strategy when interest rates are generally falling, but it could be costly in a rising rate environment. A rate lock is a must for risk-averse people who are seeking a mortgage. It’s a good idea to ask for a 45-day lock at a minimum; 60 days is even better.
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Methodology
The rates you see above are Bankrate.com Site Averages. These calculations are run after the close of the previous business day and include rates and/or yields we have collected that day for a specific banking product. Bankrate.com site averages tend to be volatile — they help consumers see the movement of rates day to day. The institutions included in the “Bankrate.com Site Average” tables will be different from one day to the next, depending on which institutions’ rates we gather on a particular day for presentation on the site.
To learn more about the different rate averages Bankrate publishes, see “Understanding Bankrate’s on-site rate averages”.
Source: bankrate.com