Today’s 15-year mortgage rates hold for the third day in a row | April 20, 2022

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Check out mortgage rates for April 20, 2022, which have been mixed since yesterday. (Credible)

Based on data compiled by Credible, mortgage refinance rate remained virtually unchanged from yesterday, with the exception of 30-year rates, which rose by a quarter of a percentage point.

Rates last updated on April 20, 2022. These rates are based on the assumptions presented here. Actual rates may vary. With 5,000 reviews, Credible maintains an “excellent” Trustpilot score.

What does that mean: Rates on a 30-year refinance jumped a quarter of a percentage point to 5.5% today, meaning short-term rates continue to offer the most opportunity for homeowners. save on interest.

Today’s Mortgage Rates for Buying a Home

Based on data compiled by Credible, mortgage rates for home purchases rose for two key terms and remained unchanged for two others since yesterday.

Rates last updated on April 20, 2022. These rates are based on the assumptions presented here. Actual rates may vary. Credible, a personal finance marketplace, has 5,000 Trustpilot reviews with an average rating of 4.7 stars (out of a possible 5.0).

What does that mean: Homebuyers who want a shorter repayment term and are comfortable with a higher monthly payment could look to 15-year mortgage rates today. Rates for this quarter have held steady at 4.500% for three consecutive days. And 10-year rates, which are a full percentage point lower than 30-year rates, offer even more opportunities for interest savings.

To find great mortgage rates, start by using Credible’s secure website, which can show you current mortgage rates from multiple lenders without affecting your credit score. You can also use Credible’s mortgage calculator to estimate your monthly mortgage payments.

How mortgage rates have changed over time

Current mortgage interest rates are well below the highest average annual rate recorded by Freddie Mac – 16.63% in 1981. A year before the COVID-19 pandemic upended economies around the world, the mortgage rate he average interest on a 30-year fixed rate mortgage for 2019 was 3.94%. The average rate for 2021 was 2.96%, the lowest annual average for 30 years.

The historic decline in interest rates means that homeowners with mortgages from 2019 could potentially realize significant interest savings by refinancing with one of today’s lowest interest rates. When considering a mortgage or refinance, it’s important to consider closing costs such as appraisal, application, origination, and attorney’s fees. These factors, in addition to the interest rate and loan amount, all contribute to the cost of a mortgage.

Are you looking to buy a house? Credible can help you compare current rates from multiple mortgage lenders both in minutes. Use Credible’s online tools to compare rates and get prequalified today.

Thousands of Trustpilot reviewers rate Credible as “excellent”.

How Credible Mortgage Rates Are Calculated

Changing economic conditions, central bank policy decisions, investor sentiment and other factors influence the movement of mortgage rates. Credible’s average mortgage rates and mortgage refinance rates shown in this article are calculated based on information provided by partner lenders who pay compensation to Credible.

The rates assume a borrower has a credit score of 740 and is borrowing a conventional loan for a single-family home that will be their primary residence. Rates also assume no (or very low) discount points and a 20% deposit.

The credible mortgage rates listed here will only give you an idea of ​​today’s average rates. The rate you actually receive may vary depending on a number of factors.

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 measures to ensure the security, stability and flexibility of the economy. Therefore, the Fed controls the US money supply and short-term interest rates, and sets the federal funds rate, which is the rate banks charge when borrowing from each other overnight.

But the Fed doesn’t actually set mortgage rates. On the contrary, several things the Fed does influence 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 increase 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. Rates therefore tend to be lower when the Fed is buying a lot.

When the Fed buys less MBS, demand will fall and rates will likely rise. Similarly, when the Fed raises the federal funds rate, mortgage rates will also rise.

If you’re trying to find the right mortgage rate, consider using Credible. You can use Credible’s free online tool to easily compare multiple lenders and see pre-qualified rates in just minutes.

You have a financial question, but you don’t know who to contact? Email The Credible Money Expert at [email protected] and your question may be answered by Credible in our Money Expert section.

As a credible authority on mortgages and personal finance, Chris Jennings has covered topics like mortgages, mortgage refinance, and more. He was a publisher and editorial assistant in the online personal finance space for four years. His work has been featured by MSN, AOL, Yahoo Finance, etc.

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