Mortgage Rates Moves Upward

As a few important mortgage rates increased let us look at how that can affect our mortgage plans.

The most frequently used loan term, average 30-year fixed mortgage interest rate increased by 1 basis point since last week it is today sitting at 3.04% from last week’s 3.03%.

A 30-year fixed-rate mortgage has a lower monthly payment compared to a 15-year one, but they have a higher interest rate.

The average rate for a 15-year, the fixed mortgage remains the same rate at 2.32%, since last week. If you can afford the monthly payments, a 15-year loan will have several benefits.

The interest rate usually is lower, and paying off your mortgage much faster you’ll pay less interest.

A 5/1 adjustable-rate mortgage saw an increase of 1 basis point to last week the average rate moved from 3.04% to 3.05%.

With a 5/1 adjustable-rate mortgage for the first five years, the interest rate will be lower compared to a 30-year fixed mortgage. Later depending on the terms of your loan and how the rate adjusts with the market rate it may go up or down.

The 30-year jumbo rate dropped by 2 basis points from 2.80% to 2.78%

The 30-year refinance rate gained by 2 basis points where they were at 2.99% last week today the refinance rate is 3.01%

Reference Source: Cnet

https://www.compareclosing.com/mortgagenews/mortgage-rates-move-upward/

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