Mortgage rates stabilize at the end of the week: how long can the lows last? | September 17, 2021

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View mortgage rates for September 17, 2021, which are largely unchanged from yesterday. (iStock)

Based on data compiled by Credible, mortgage rates have remained unchanged since yesterday, with the exception of 20-year rates, which edged up.

  • Fixed mortgage rates over 30 years: 2.750%, unchanged
  • 20-year fixed mortgage rates: 2.500%, vs. 2.375%, + 0.125
  • Fixed mortgage rates over 15 years: 2,000%, unchanged
  • 10-year fixed mortgage rates: 2,000%, unchanged

Rates last updated on September 17, 2021. These rates are based on the assumptions presented here. Actual rates may vary.

What does that mean: Mortgage interest rates have remained at historic lows throughout 2021. But Fannie Mae and Freddie Mac expect rates to rise in the last quarter of 2021. While those increases are likely to be relatively modest, keep in mind that even a 0.1% difference in a mortgage rate could run into the thousands of dollars over the life of a loan. Homebuyers who take action in September to secure a near-record interest rate can save a lot of money.

To find the best mortgage rate, start by using Credible, which can show you current mortgage and refinance rates:

Browse the rates of several lenders to make an informed decision about your home loan.

Credible, a personal finance marketplace, has 4,500 Trustpilot reviews with an average rating of 4.7 stars (out of a possible 5.0).

Looking at Mortgage Refinance Rates Today

Today’s mortgage refinance rates are largely unchanged from yesterday, with the exception of 20-year rates, which edged up. The average mortgage refinancing rate is only 2.313%, only 0.063% above the record low of the year. If you are considering refinancing an existing home, find out what refinancing rates look like:

  • Fixed refinancing rates over 30 years: 2.750%, unchanged
  • Fixed refinancing rates over 20 years: 2.500%, vs. 2.375%, + 0.125
  • Fixed refinancing rates over 15 years: 2,000%, unchanged
  • Fixed refinancing rates over 10 years: 2,000%, unchanged

Rates last updated on September 17, 2021. These rates are based on the assumptions presented here. Actual rates may vary.

A site like Credible can be of great help when you are ready to compare mortgage refinancing loans. Credible allows you to view prequalified rates for conventional mortgages from multiple lenders within minutes. Visit Credible today to start.

Credible has earned a 4.7-star rating (out of a possible 5.0) on Trustpilot and over 4,500 customer reviews who have safely compared prequalified rates.

How Does the Federal Reserve Affect Mortgage Rates?

The Federal Reserve System – or “The Fed,” as it is commonly known – is the central bank of the United States. It is responsible for taking action to keep the economy secure, stable and flexible. As a result, the Fed controls the U.S. money supply and short-term interest rates, and sets the Fed Funds Rate, which is the rate banks charge when they borrow from each other on a day-to-day basis.

But the Fed doesn’t actually set mortgage rates. On the contrary, several things the Fed influences mortgage rates. For example, although mortgage rates do not reflect the federal funds rate, they tend to follow it. If this rate increases, mortgage rates generally rise in tandem.

The Fed also buys and sells mortgage-backed securities, or MBS – a set of similar loans that a large mortgage investor buys and then resells to investors in the bond market. When the Fed buys a lot of mortgage-backed securities, it creates demand in the market and lenders can make money even if they offer lower mortgage rates. So rates tend to fall when the Fed buys a lot. When the Fed buys less MBS, demand drops and rates are likely to rise.

Current mortgage rates

Average mortgage rates fell for all terms this week, with the week’s average for 30-year mortgages standing at 2.750% and 1.975% for 10-year mortgages.

Current 30-year mortgage rates

The current interest rate for a 30 year fixed rate mortgage is 2.750%. It’s the same as yesterday. Thirty years is the most common mortgage repayment term because 30-year mortgages typically give you a lower monthly payment. But they also usually come with higher interest rates, which means you’ll ultimately pay more interest over the life of the loan.

Current 20-year mortgage rates

The current interest rate for a 20 year fixed rate mortgage is 2,500%. It’s since yesterday. Shortening your repayment term by just 10 years can mean you’ll get a lower interest rate and pay less total interest over the life of the loan.

Current 15-year mortgage rates

The current interest rate for a 15 year fixed rate mortgage is 2,000%. It’s the same as yesterday. Fifteen-year mortgages are the second most common mortgage term. A 15-year mortgage can help you earn a lower rate than a 30-year term and pay less interest over the life of the loan, while still keeping monthly payments manageable.

Current 10-year mortgage rates

The current interest rate for a 10 year fixed rate mortgage is 2,000%. It’s the same as yesterday. While less common than 30- and 15-year mortgages, a 10-year fixed-rate mortgage typically gives you lower interest rates and lifetime interest charges, but a higher monthly mortgage payment.

You can explore your mortgage options in minutes by visiting Credible to compare the current rates of various lenders who offer mortgage refinances as well as home loans. Discover Credible and get prequalified today, and take a look at today’s refinance rates via the link below.

Thousands of Trustpilot reviewers rate Credible “excellent”.

Rates last updated on September 17, 2021. These rates are based on the assumptions presented here. Actual rates may vary.

How credible mortgage rates are calculated

Changing economic conditions, central bank policy decisions, investor sentiment and other factors influence the development of mortgage rates. Credible’s average mortgage rates and mortgage refinance rates are calculated based on information provided by partner lenders who compensate Credible.

The rates assume that a borrower has a credit score of 740 and borrows a conventional loan for a single family home that will be their primary residence. Rates also assume zero (or very low) discount points and a 20% deposit.

Credible mortgage rates will only give you an idea of ​​current average rates. The rate you receive may vary depending on a number of factors.

How mortgage rates have changed

Today, mortgage rates are mostly the same as they were around the same time last week.

  • Fixed mortgage rates over 30 years: 2.750%, the same as last week
  • 20-year fixed mortgage rates: 2.500%, compared to 2.375% last week, +0.125
  • Fixed mortgage rates over 15 years: 2,000%, same as last week
  • 10-year fixed mortgage rates: 2,000%, same as last week

Rates last updated on September 17, 2021. These rates are based on the assumptions presented here. Actual rates may vary.

These rates are based on the assumptions presented here. Actual rates may vary.

If you are trying to find the right rate for your mortgage or are looking to refinance an existing home, consider using Credible. You can use Credible’s free online tool to easily compare multiple lenders and see prequalified rates in minutes.

With over 4,500 reviews, Credible maintains an “excellent” Trustpilot score.

Fixed Rate vs. Variable Rate Mortgages: How They Affect Interest Charges

Mortgage interest rates can be fixed (meaning they stay the same for the life of your loan) or variable (the rate may change after an initial period). The type of mortgage you choose will affect your interest rate.

The interest rates for fixed rate mortgages tend to be higher than the initial interest rate for variable rate mortgages, or ARMs. But they don’t change, so you’ll know when you start your loan exactly how much interest you’ll pay over the life of your mortgage.

The initial interest rates for ARMs are generally lower than those for fixed rate mortgages. But after an introductory period ends, your interest rate will change – and it could go up dramatically. The introductory periods can vary from several months to a year or a few years. After the introductory period, your interest rate will be based on an index specified by your lender. ARMs may or may not cap your interest rate increase.

It is common for homeowners with adjustable rate mortgages to refinance into fixed rate loans when their introductory period is about to end.

Looking to lower your home insurance rate?

A home insurance policy can help you cover unforeseen costs you might incur during homeownership, such as structural damage and destruction or theft of personal property. Coverage can vary widely from insurer to insurer, so it’s wise to shop around and compare policy quotes.

Credible has a partnership with a home insurance broker. You can compare for free home insurance quote via Credible’s partner here. It’s quick, easy and the whole process can be done entirely online.

Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at [email protected] and your question could be answered by Credible in our Money Expert column.

As a credible authority on mortgages and personal finance, Chris Jennings has covered topics such as mortgages, mortgage refinancing, and more. He was an editor and editorial assistant in the online personal finance field for four years. His work has been featured by MSN, AOL, Yahoo Finance, and more.

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