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Mortgage rates rose today, but if you want to buy a home or refinance your current home, you still have a chance to lock in an all-time low rate.
To date, the average rate on a 30-year fixed mortgage is 4.88% with an APR of 4.89%, according to Bankrate.com. The 15-year fixed mortgage has an average rate of 4.10% with an APR of 4.13%. On a 30-year jumbo mortgage, the average rate is 4.83% with an APR of 4.85%. The average rate on a 5/1 ARM is 3.38% with an APR of 4.44%.
Related: Compare current mortgage rates
30-Year Fixed-Rate Mortgage Rates
On a 30-year fixed mortgage, the APR is 4.89%, lower than it was last week. The APR, or annual percentage rate, consists of the interest rate of a loan and the finance charges of a loan. This is the overall cost of your loan.
At the current interest rate of 4.88%, borrowers with a $100,000 30-year fixed rate mortgage will pay $530 a month in principal and interest (taxes and fees not included), says mortgage calculator Forbes Advisor . In total interest, you would pay $90,624 over the life of the loan.
15-Year Fixed-Rate Mortgage Rates
Today, the 15-year fixed mortgage rate is 4.10%, lower than it was yesterday. Last week it was 4.10%. Today’s rate is above the 52-week low of 2.28%.
The APR on a 15-year fixed is 4.13%. This time last week it was 4.13%.
With an interest rate of 4.10%, you would pay 745 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you will pay $34,048 in total interest.
Giant Mortgage Rates
On a 30-year jumbo, the average interest rate stands at 4.83%, lower than it was at the same time last week. The average rate was 4.90% at the same time last week. The 30-year fixed rate on a jumbo mortgage is currently above the 52-week low of 3.03%.
Borrowers with a 30-year fixed-rate jumbo mortgage with a current interest rate of 4.83% will pay $526 per month in principal and interest per $100,000. This means that on a $750,000 loan, the monthly principal and interest payment would be approximately $3,949, and you would pay approximately $671,497 in total interest over the life of the loan.
5/1 ARM interest rate
On a 5/1 ARM, the average rate remained at 3.38%. The average rate was 3.31% last week. Today’s rate is currently below the 52-week high of 3.43%.
Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 3.38% will pay $442 a month in principal and interest.
How to calculate mortgage payments
If you can’t or don’t want to pay cash, mortgage lenders and mortgages will be part of your home buying process. It’s important to figure out what you’ll likely pay each month to see if it fits your budget.
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:
- The price of the house
- The amount of your deposit
- The interest rate
- The term of the loan
- All taxes, insurance and all HOA fees
Determine how much house you can afford
How much home you can afford depends on a number of factors, including your income and your debt.
Here are some major factors that go into what you can afford:
- Debt-to-income ratio, or DTI
- Credit score
Explain the annual percentage rate of charge
The annual percentage rate, or APR, takes into account interest, fees and time. This is the total cost of your loan and includes both the interest rate of the loan and its finance charges.
Since the APR includes both the interest rate and some fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you hold it for the full term. The APR will generally be higher than the interest rate, but there are exceptions.