February 9, 2022—Mortgage Rates Hold Steady – Forbes Advisor

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For anyone in the market to buy or refinance a home, it’s a good time to lock in a low rate. Mortgage rates remained unchanged today, keeping rates at historical lows.

The average rate on a 30-year fixed mortgage is 3.97%, according to Bankrate.com. On a 15-year fixed mortgage, the average rate is 3.34%. The average rate on a 30-year jumbo mortgage is 3.97%, and the average rate on a 5/1 ARM is 2.85%.

Related: Compare Current Mortgage Rates

30-Year Fixed Mortgage Rates

The average rate stayed flat on a 30-year fixed mortgage, remaining at 3.97%. The 52-week low is 2.91%.

The APR on a 30-year fixed is 3.98%. This time last week, it was 3.79%. APR is the all-in cost of your loan.

According to the Forbes Advisor mortgage calculator, homebuyers with a 30-year fixed-rate mortgage of $100,000 will pay 476 per month in principal and interest (taxes and fees not included) at today’s interest rate of 3.97%. In total interest, you’d pay $71,247 over the life of the loan.

15-Year Mortgage Interest Rates

The average interest rate on the 15-year fixed mortgage is 3.34%. This same time last week, the 15-year fixed-rate mortgage was at 3.16%. Today’s rate is higher than the 52-week low of 2.28%.

On a 15-year fixed, the APR is 3.42%. Last week it was 3.25%.

A 15-year fixed-rate mortgage of $100,000 with today’s interest rate of 3.34% will cost 707 per month in principal and interest. Over the life of the loan, you would pay $27,269 in total interest.

Jumbo Mortgage Rates

The average interest rate on the 30-year fixed-rate jumbo mortgage sits at 3.97%. Last week, the average rate was 3.75%. The 30-year fixed rate on a jumbo mortgage is currently higher than the 52-week low of 2.94%.

Borrowers with a 30-year fixed-rate jumbo mortgage with today’s interest rate of 3.97% will pay 476 per month in principal and interest per $100,000. That means that on a $750,000 loan, the monthly principal and interest payment would be around 3,568, and you’d pay approximately $534,356 in total interest over the life of the loan.

5/1 Adjustable-Rate Mortgage Rates

The average interest rate on a 5/1 ARM is 2.85%, higher than the 52-week low of 2.82%. Last week, the average rate was 2.84%.

Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 2.85% will pay 414 per month in principal and interest.

Calculate Your Mortgage Payment

For much of the population, buying a home means working with a mortgage lender to get a mortgage. It can be tricky to figure out how much you can afford and what you’re paying for.

To estimate your monthly mortgage payment, you can use a mortgage calculator. It will provide you with an estimate of your monthly principal and interest payment based on your interest rate, down payment, purchase price and other factors.

Here’s what you’ll need in order to calculate your monthly mortgage payment:

  • The home price
  • Your down payment amount
  • The interest rate
  • The loan term
  • Any taxes, insurance and any HOA fees

What you can afford depends on a number of factors, including your income, debt, debt-to-income ratio, down payment and credit score.

You also want to consider closing costs, property taxes, insurance costs and ongoing maintenance expenses.

The type of loan you choose can also affect how much house you can afford. When shopping for a loan, think about whether a conventional mortgage, FHA loan, VA loan or USDA loan is best for your particular situation.

Explaining Annual Percentage Rate

Annual percentage rate, or APR, takes into account interest, fees and time. It’s the total cost of your loan and includes both the loan’s interest rate and its finance charges.

APR can help you understand the total cost of a mortgage if you keep it for the full term. Keep in mind that the APR is often higher than the interest rate.

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