Today’s best mortgage and refinance rates: Friday, September 11, 2020

News
best mortgage rates today

Summary List Placement 

Fixed mortgage rates have decreased since last Friday and last month, while adjustable rates have increased. But mortgage rates are down overall since six months and a year ago, and refinance rates have decreased over the last month.

The best mortgage rates Friday, September 11, 2020

Mortgage type
Average rate today
Average rate last week
Average rate last month

30-year fixed
2.86%
2.93%
2.88%

15-year fixed
2.37%
2.42%
2.44%

5/1 ARM
3.11%
2.93%
2.90%

Rates from the Federal Reserve Bank of St. Louis.

The 5/1 ARM rates have been steadily going up since last week and last month. The 30-year and 15-year fixed rates are down since last Friday and since this time last month.

Mortgage rates are still low in general, though. You can see the trending decline when you look at rates from 6 months or a year ago:

Mortgage type
Average rate today
Average rate 6 months ago
Average rate 1 year ago

30-year fixed
2.86%
3.29%
3.49%

15-year fixed
2.37%
2.79%
3.00%

5/1 ARM
3.11%
3.18%
3.30%

Rates from the Federal Reserve Bank of St. Louis.

The 5/1 ARM rates have been going up in recent weeks. But if you get a 5/1 ARM now, you’ll probably still get a better rate than you would have earlier in 2020 or in 2019.

Several factors affect mortgage rates. Decreasing rates are usually a sign of a struggling economy. As the coronavirus pandemic and economic crisis continue, you’ll likely see rates stay low, and they could keep going down.

The best refinance rates Friday, September 11, 2020

Mortgage type
Average rate today
Average rate last week
Average rate last month

30-year fixed
3.10%
3.12%
3.11%

15-year fixed
2.54%
2.54%
2.60%

10-year fixed
2.61%
2.61%
2.64%

Rates from Bankrate.

The 30-year fixed refinance rates are down from last Friday, while 15-year and 10-year fixed rates have remained steady. Refinance rates have decreased across the board since this time last month.

  The Trump campaign has cut travel on Air Force One for its staff as it copes with a spending crisis

30-year fixed rates

Typically, you’ll pay a higher rate on a 30-year fixed-rate mortgage than on a 15-year fixed or 5/1 adjustable mortgage.

Your monthly payments will be lower compared to the other types of loans, because your principal is spread out over a longer period of time.

The downside is that you’ll pay more in interest because a) the rate is higher, and b) your interest is also spread out over a longer period of time.

15-year fixed rates

A 15-year fixed rate is lower than what you’ll pay for a 30-year mortgage. Monthly payments will likely be higher, because you’re paying off the principal in half the time.

You’ll save money in the long run, though, because the rate is lower, and you’ll be making payments for a shorter amount of time.

10-year fixed rates

A 10-year fixed-rate mortgage isn’t very common for an initial mortgage. But you might refinance into a 10-year mortgage after you’ve paid down some of your loan.

Rates are similar to what you’ll pay for a 15-year fixed-rate mortgage, but you’ll pay off your loan faster.

5/1 adjustable rates

A 5/1 adjustable rate is typically lower than the 30-year fixed rate but higher than the 15-year fixed rate.

With a 5/1 ARM, a low rate is locked in for the first five years. Then your rate changes once per year for the remaining 25 years.

An adjustable-rate mortgage …read more

Source:: Business Insider

      

(Visited 1 times, 1 visits today)

Leave a Reply

Your email address will not be published. Required fields are marked *