The average rate for the benchmark 30-year fixed mortgage is 4.53 percent, up 11 basis points over the last seven days. A month ago, the average rate on a 30-year fixed mortgage was lower, at 4.41 percent.
At the current average rate, you’ll pay $508.47 per month in principal and interest for every $100,000 you borrow. That’s an additional $6.53 per $100,000 compared to last week.
You can use Bankrate’s mortgage calculator to get a handle on what your monthly payments would be and find out how much you’ll save by adding extra payments. It will also help you calculate how much interest you’ll pay over the life of the loan.
15-year fixed mortgages
The average 15-year fixed-mortgage rate is 3.96 percent, up 8 basis points from a week ago.
Monthly payments on a 15-year fixed mortgage at that rate will cost around $738 per $100,000 borrowed. That’s obviously much higher than the monthly payment would be on a 30-year mortgage at that rate, but it comes with some big advantages: You’ll come out several thousand dollars ahead over the life of the loan in total interest paid and build equity much more quickly.
The average rate on a 5/1 ARM is 4.37 percent, rising 7 basis points over the last week.
These types of loans are best for those who expect to sell or refinance before the first or second adjustment. Rates could be substantially higher when the loan first adjusts, and thereafter.
Monthly payments on a 5/1 ARM at 4.37 percent would cost about $499 for each $100,000 borrowed over the initial five years, but could climb hundreds of dollars higher afterward, depending on the loan’s terms.
Where rates are headed
To see where Bankrate’s panel of experts expect rates to go from here, check out our Rate Trend Index.