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Mortgage rates were unchanged today, giving buyers and homeowners (looking to refinance) the chance to get some of the lowest rates ever.
Today, according to Bankrate.com, the average rate on a 30-year fixed-rate mortgage is 3.13%, while the average rate on a 15-year mortgage is 2.41%. On a 30 year jumbo mortgage, the average interest rate is 3.12% and the average interest rate on a 5/1 ARM is 3.16%.
30-year fixed-rate mortgages
The average interest rate on a 30-year fixed-rate mortgage remained unchanged at 3.13%. Today’s rate is below the 52-week high of 3.42%.
The 30-year APR for fixed-rate mortgages is 3.30%. At this point last week it was 3.33%. Here’s why APR is important.
At a rate of 3.13%, a 30-year fixed-rate mortgage would cost $ 429 per month in principal and interest (excluding taxes and fees) per $ 100,000, according to the Forbes advisor Mortgage calculator. The total interest paid over the life of the loan is approximately $ 54,313.
15-year fixed-rate mortgages
The average interest rate on the 15-year fixed-rate mortgage is 2.41%. At the same time last week, the 15 year fixed rate mortgage was 2.42%. Today’s price is above the 52-week low of 2.32%.
The effective annual interest rate for a 15-year term is 2.69%. Last week at this time it was 2.71%.
At 2.41% interest, you would be paying $ 663 per month in principal and interest for every $ 100,000 borrowed. Over the life of the loan, you would pay a total of $ 19,261 in interest.
For a 30-year jumbo, the average interest rate is 3.12%, lower than it was at this point last week. The average rate at that time last week was 3.12%. The 30-year fixed interest rate on a jumbo mortgage is currently above the 52-week low of 2.85%.
Borrowers on a 30 year jumbo fixed rate mortgage with a current rate of 3.12% pay $ 428 per month in principal and interest per $ 100,000. That means that on a $ 750,000 loan, the monthly principal and interest payment would be about $ 3,211 and you would pay a total of about $ 405,879 in total interest over the life of the loan.
The average interest rate for a 5/1 ARM 3.16%, higher than the 52-week low of 2.85%. Last week the average rate was 3.15%.
Borrowers with a 5/1 ARM of $ 100,000 at today’s rate of 3.16% pay $ 430 per month in principal and interest.
Calculate your mortgage payment
For a large part of the population, buying a home means having one Mortgage lender to get a mortgage. Figuring out how much you can afford and what you are paying for can be difficult.
Using a Mortgage calculator can help you estimate your monthly mortgage payment based on your interest rate, purchase price, down payment, and other expenses.
Here’s what you’ll need to calculate your monthly mortgage payment:
- interest rate
- Deposit amount
- House price
- Repayment term
- HOA fees
What you can afford depends on a number of factors including your income, debt, debt-to-income ratio, down payment, and creditworthiness.
You also want to consider closing costs, property taxes, insurance costs, and ongoing maintenance costs.
The type of loan you choose can also affect how much home you can afford. When purchasing a loan, consider whether a conventional mortgage, FHA loan, VA loan, or USDA loan is best for your particular situation.
What is APR?
The APR, or APR, takes into account interest, fees and time. It is the total cost of your loan and includes both the interest rate on the loan and the cost of financing.
APR can help you understand the total cost of a mortgage if you hold onto it for the full term. Remember that the APR is often higher than the interest rate.