Mortgage rates have been fairly volatile so far in July. Last week, average fixed rates increased following two consecutive weeks of decreases.

June’s Consumer Price Index report, one of the most closely-watched gauges of inflation, came in hotter than expected last week. As inflation has risen, the Federal Reserve has been raising the federal funds rate to try to slow the economy and get price growth under control.

Last week’s CPI data shows that the Fed will likely need to act even more aggressively, which many experts fear could end up pushing the US into a mild recession. With so much economic uncertainty, mortgage rates may continue to experience some volatility this month.

Current mortgage rates
Current refinance rates
Mortgage calculator

Use our free mortgage calculator to see how today’s mortgage rates would impact your monthly payments. By plugging in different rates and term lengths, you’ll also understand how much you’ll pay over the entire length of your mortgage.

Click “More details” for tips on how to save money on your mortgage in the long run.

30-year fixed mortgage rates

The current average 30-year fixed mortgage rate is 5.51%, according to Freddie Mac. This rate is up after two consecutive weeks of decreases. Previously, it was at 5.3%.

The 30-year fixed-rate mortgage is the most common type of home loan. With this type of mortgage, you’ll pay back what you borrowed over 30 years, and your interest rate won’t change for the life of the loan.

The lengthy 30-year term allows you to spread out your payments over a long period of time, meaning you can keep your monthly payments lower and more manageable. The trade-off is that you’ll have a higher rate than you would with shorter terms or adjustable rates.

15-year fixed mortgage rates

The average 15-year fixed mortgage rate is 4.67%, an increase from the prior week, according to Freddie Mac data.

If you want the predictability that comes with a fixed rate but are looking to spend less on interest over the life of your loan, a 15-year fixed-rate mortgage might be a good fit for you. Because these terms are shorter and have lower rates than 30-year fixed-rate mortgages, you could potentially save tens of thousands of dollars in interest. However, you’ll have a higher monthly payment than you would with a longer term.

5/1 adjustable mortgage rates

The average 5/1 adjustable mortgage rate is 4.35%, …read more

Source:: Business Insider

      

Today’s mortgage and refinance rates: July 19, 2022 | Rates remain elevated

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