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June 21, 2022—Current Refinance Rates Go Up – Forbes Advisor

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The rate on a 30-year fixed refinance increased today.

The average refinancing rate for a 30-year fixed mortgage is 6.02%, according to Bankrate.com. On a 15-year fixed mortgage, the average rate is 5.33%. The average rate on a 20-year refinance loan is 5.99% and the average rate on a 5/1 ARM is 4.06%.

Related: Compare Current Refinance Rates

30-year refinance rates

Today, the average rate for 30-year fixed-rate mortgage refinancing increased to 6.02%. Last week, the 30-year fixed rate was 5.98%. The 52-week high is 6.12%.

On a 30-year fixed mortgage refinance, the APR (Annual Percentage Rate) is 6.04%, higher than last week. APR, or Annual Percentage Rate, includes the interest rate on a loan and the finance charges on a loan. It is the total cost of your loan.

At an interest rate of 6.02%, a 30-year fixed mortgage refinance would cost $601 per month in principal and interest (not including taxes and fees) per $100,000, according to Forbes Advisor’s mortgage calculator. You would pay about $116,301 in total interest over the life of the loan.

20 Year Fixed Rate Mortgage Refinance Rates

The average interest rate on a 20-year fixed refinance mortgage is 5.99%. Last week, the 20-year fixed-rate mortgage was at 5.97%.

The APR on a 20 year fixed is 6.01%. This time last week, it was 5.99%.

A $100,000 20-year fixed-rate mortgage refinance at the current interest rate of 5.99% will cost $716 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay about $71,805 in total interest.

15-year mortgage refinance rate

The average interest rate of the 15-year fixed refinance mortgage remained at 5.33%. Last week, the 15-year fixed-rate mortgage was at 5.10%. Today’s rate is higher than the 52-week low of 4.12%.

The annual percentage rate on a 15-year fixed is 5.35%. This time last week, it was 5.12%.

At the current interest rate of 5.33%, a 15-year fixed-rate mortgage would cost approximately $808 per month in principal and interest per $100,000. You would pay about $45,456 in total interest over the life of the loan.

30 Year Jumbo Mortgage Refinance Rates

The average interest rate on a 30-year fixed-rate jumbo mortgage refinance is 5.98%. A week ago, the average rate was 6.01%. The 30-year fixed rate on a jumbo mortgage is higher than the 52-week minimum of 4.87%.

Borrowers with a 30-year fixed-rate jumbo mortgage refinance at the current interest rate of 5.98% will pay $598 per month in principal and interest per $100,000.

15 Year Jumbo Mortgage Refinance Rates

The average interest rate on the 15-year fixed-rate jumbo mortgage refinance increased to 5.39%. Last week, the average rate was 5.17%. The 15-year fixed rate on a jumbo mortgage is higher than the 52-week minimum of 4.07%.

Borrowers with a 15-year fixed-rate jumbo mortgage refinance at the current interest rate of 5.39% will pay $811 per month in principal and interest per $100,000. That means on a $750,000 loan, your monthly principal and interest payment would be about $6,084, and you’d pay about $345,198 in total interest over the life of the loan.

5/1 Adjustable Rate Mortgage Refinance Rates

The average interest rate on a 5/1 ARM is 4.06%, higher than the 52-week low of 2.83%. Last week, the average rate was 5.20%.

Borrowers with a $100,000 5/1 ARM at the current interest rate of 4.06% will pay $481 per month in principal and interest.

When refinancing makes sense

You may want to refinance your home when you can lower your interest rate, lower your monthly payments, or pay off your mortgage sooner. You may want to use cash-out financing to access your home equity or apply for a new loan to eliminate private mortgage insurance (PMI).

Refinancing your mortgage may make sense if you plan to stay in your home for several years. After all, refinancing comes with a cost that will take some time to recoup. You’ll need to know the loan’s closing costs to calculate the break-even point where your savings from a lower interest rate exceed your closing costs. You can calculate this by dividing your closing costs by the monthly savings from your new payment.

Our mortgage refinance calculator may help you determine if refinancing is right for you.

How to get the best refinance rates today

Just like when you shopped for a mortgage when you bought your home, when you refinance, here’s how you can find the lowest refinance rate:

  • Maintain a good credit score
  • Consider a short-term loan
  • Lower your debt-to-income ratio
  • Monitor mortgage rates

A strong credit score isn’t a guarantee that you’ll get approved for your refinance or get the lowest rate, but it might ease your way. You’re also more likely to be approved by lenders if you don’t have excessive monthly debt. You should also keep an eye on mortgage rates for various loan terms. They fluctuate frequently, and loans that need to be paid off sooner tend to charge lower interest rates.

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