October 28, 2022—Rates Cool Off – Forbes Advisor

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Today, the average rate on a 30-year fixed mortgage is 7.10%, according to Bankrate.com. On a 15-year fixed mortgage, the average rate is 6.42%. The average rate on a 30-year jumbo mortgage is 7.11%, and the average rate on a 5/1 ARM is 5.51%.

Related: Compare Current Mortgage Rates

Mortgage Rates for October 28, 2022

30-Year Fixed-Rate Mortgage Rates

Today’s average rate on a 30-year, fixed-rate mortgage is 7.10%, which is 0.28% lower than last week. In a 52-week span, the lowest rate was 5.50% while the highest was 7.38%.

The interest plus lender fees, called the annual percentage rate (APR), on a 30-year fixed mortgage is 7.11%. The APR was 7.39% last week.

To get an idea about how much you might pay in interest, consider that the current 30-year, fixed-rate mortgage of 7.10% on a $100,000 loan will cost $672 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. The total amount you’ll pay in interest during the loan’s lifespan is $141,932.

15-Year Mortgage Interest Rates

The average interest rate on the 15-year fixed mortgage is 6.42%. This same time last week, the 15-year fixed-rate mortgage was at 6.51%. Today’s rate is higher than the 52-week low of 4.94%.

The APR on a 15-year fixed is 6.44%. It was 6.55% this time last week.

With an interest rate of 6.42%, you would pay $867 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you would pay $56,009 in total interest.

Jumbo Mortgage Rates

The current average interest rate on a 30-year, fixed-rate jumbo mortgage is 7.11%— 0.32% down from last week. The 30-year jumbo mortgage rate had a 52-week low of 5.51% and a 52-week high of 7.43%.

A 30-year jumbo mortgage at today’s fixed interest rate of 7.11% will cost you $673 per month in principal and interest per $100,000. On a $750,000 jumbo mortgage, the monthly principal and interest payment would be approximately $5,045.

5/1 ARM Rates

Today’s average interest rate on a 5/1 ARM is 5.51%, up 0.08% from a week earlier. In the past 52 weeks, the lowest 5/1 ARM rate was 4.24% and the high was 5.53%.

Borrowers with the current rate of 5.51% will spend $568 on principal and interest per month on a $100,000 loan.

How to Calculate Mortgage Payments

Before you look for a house, you should get to know your budget. This will give you an idea of the type of house you can afford. Start by using a mortgage calculator to get a rough estimate.

Simply input the following information:

  • Home price
  • Down payment amount
  • Interest rate
  • Loan term
  • Taxes, insurance and any HOA fees

What’s an APR, and Why Is It Important?

APR, or annual percentage rate, is a calculation that includes both a loan’s interest rate and a loan’s finance charges, expressed as an annual cost over the life of the loan. In other words, it’s the total cost of credit. APR accounts for interest, fees and time.

Since APRs include both the interest rate and certain fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you keep it for the entire term. The APR will usually be higher than the interest rate, but there are exceptions.