Today’s Mortgage Rates – July 29, 2021: Fixed Rates Reduced

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Mortgage loan rates is down from yesterday for fixed rate products. This is what they look like on July 29, 2021:

Data source: National Ascent Mortgage Interest Rate Tracking

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30 year mortgage rate

Average 30 year mortgage rate today is 3.046%, which is 0.010% lower than yesterday. At today’s rate, you will pay $ 424.00 in principal and interest 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 2.787%, which is 0.008% lower than yesterday. At today’s rate, you will pay $ 544.00 in principal and interest for every $ 100,000 you borrowed. Although your monthly payment will increase by $ 120.00 on a 20-year loan of $ 100,000 compared to a 30-year loan of the same amount, you will save $ 22,187 in interest over the repayment period for every $ 100,000. which you borrowed.

Mortgage rates for 15 years

Average 15 year mortgage rate today is 2.319%, which is 0.017% lower than yesterday. At today’s rates, you will pay $ 658.00 in principal and interest for every $ 100,000 you borrowed. Compared to a 30-year loan, your monthly payment will be $ 234.00 more for every $ 100,000 of your mortgage principal. However, your interest savings will be $ 34,241.00 during the repayment period for every $ 100,000 in mortgage debt.

5/1 ARM

Average 5/1 speed ARM is 3.008%, which is 0.122% less than yesterday. If you take 5/1 ARM, you will be guaranteed the same interest rate for five years, but from now on it will be adjusted once a year. Although the interest rate on the loan may decrease, it may also rise, which will lead to an increase in monthly payments. Since you can block a 30-year loan at a rate that is not much higher than the current 5/1 ARM, a 30-year loan makes more sense.

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 your mortgage is closed.

If you are planning to close your home in 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:

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

If you think it’s time to apply for a mortgage, refer to a few others creditors to see what rates they come back with. And don’t forget to ask about closing costs. It may be that one lender offers a lower rate on a home loan but charges much higher fees for its termination. When making a decision, look at the big picture.

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