30 and 20 year rates rise


Mortgage loan rates slightly changed compared to yesterday, with an increase of 30 and 20 loans. This is what they look like on July 15, 2021:

Data source: National Ascent Mortgage Interest Rate Tracking

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30 year mortgage rate

Average 30 year mortgage rate today is 3.096%, which is 0.002% more than yesterday. At today’s rate, you will pay principal and interest of $ 427.00 for every $ 100,000 you borrowed. This does not include additional costs such as property taxes and homeowner insurance premiums.

Mortgage rates for 20 years

Average 20 year mortgage rate today is 2.881%, which is 0.033% more than yesterday. At today’s rate, you will pay $ 549.00 in principal and interest for every $ 100,000 you borrowed. Although your monthly payment will increase by $ 122.00 on a 20-year loan of $ 100,000 compared to a 30-year loan of the same amount, you will save $ 21,982 in interest over the repayment period for every $ 100,000. borrowed.

Mortgage rates for 15 years

Average 15 year mortgage rate today is 2.389%, unchanged from yesterday. At today’s rate, you will pay $ 662.00 in principal and interest for every $ 100,000 you borrowed. Compared to a 30-year loan, your monthly payment will be $ 235.00 more for every $ 100,000 in your mortgage principal. However, your interest savings will be $ 34,573.00 during the repayment period for every $ 100,000 in mortgage debt.

5/1 ARM

Average 5/1 speed ARM is 2.865%, which is 0.068% less than yesterday. If you take 5/1 ARM today, you will get a lower interest rate than what you would get with a 30 year fixed loan. But this rate is only guaranteed for five years, after which it may rise depending on market conditions. If you can afford the higher monthly payment, it would be wiser to block a 20-year loan as its rate is comparable to today’s 5/1 ARM rate and is also guaranteed to stay in place for the entire repayment period.

Do I have to lock in my mortgage rate now?

Locking a mortgage rate guarantees you a specific interest rate for a specific period of time – usually 30 days, but you can keep your rate for up to 60 days. You usually pay a commission to lock in your mortgage rate, but this way you are protected if rates rise between now and when the mortgage is closed.

If you are planning to close your home within the next 30 days, then it will be beneficial to lock in your mortgage rate based on today’s rates – especially since they are very attractive from a historical point of view. But if there are more than 30 days left before your close, you can opt for a floating rate lock instead of what would normally be a higher fee, but which could save you money in the long run. A floating rate lock allows you to secure a lower loan rate if rates fall before you close your mortgage. While today’s rates are pretty low, we don’t know if they will go up or down over the next few months. Thus, it is beneficial:

  • LOCK if closing 7 days
  • LOCK if closing fifteen days
  • LOCK if closing thirty days
  • TO SWIM if closing 45 days
  • TO SWIM if closing 60 days

If you are ready to apply for a mortgage, contact different creditors to see what rates they have. Keep in mind that the higher your credit rating, the more likely you are to get a mortgage at a lower price. If your credit rating needs to be improved, it is possible to spend several months improving it before applying for a home loan. Mortgage rates are unlikely to rise significantly anytime soon, and a credit rating upgrade could lead to significant long-term savings.

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