What The Current State of Mortgage Rates Means For You
In this article:
Learning more about today’s mortgage rates will give you a better understanding of all the offers available to you.
Today’s mortgage rates are unpredictable but there are ways to lower your rate depending on a number of factors.
Paying down your debt and increasing your credit score are some ways to get a better mortgage rate.
There are many factors you need to consider when buying a home. Financing your purchase usually requires finding lending options and choosing the best one.
Let’s look at the mortgage interest rates and how this affects you. You’ll need to get a basic understanding of the mortgage rates today to avoid any mistakes in the future.
Here’s a look at everything you need to know about current mortgage rates.
What Are Mortgage Rates and Why Should You Compare Them?
A mortgage rate is the amount of interest a mortgage lender charges a borrower.
To pay this interest, a borrower makes a monthly payment for the loan in place of a lump sum. Mortgage rates can vary depending on whether your loan is a fixed-rate mortgage or an adjustable-rate mortgage.
A fixed-rate mortgage has the same interest rate for the entire loan term. On the other hand, an adjustable-rate mortgage has a fixed introductory interest rate for a period of time but may fluctuate after the initial period ends.
The interest rate for a fixed-rate mortgage is generally higher than the initial rate on an adjustable-rate mortgage.
In addition to the type of mortgage loan, mortgage rates can also vary depending on the lender.
Each mortgage lender determines their interest rates, which is why you should compare mortgage rates among lenders to find the best loan.
Today's Mortgage Rates
Mortgage rates are highly unpredictable. They can remain the same for some time or they can change.
As of January 2023, here are the current 30 year mortgage rates and 15 year mortgage rates:
The latest 30-year fixed-rate mortgage interest rate is 6.76%.