Mortgage

Mortgage and Refinance Rates Today, April 13, 2021 – Most rates fall


Mortgage and Refinance Rates Today, April 13, 2021 – Most rates fall

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Mortgage rates were mostly down compared to a week ago. Rates for 30-year fixed, 15-year fixed and jumbo loans declined, while rates for adjustable rate mortgages rose.

Current average mortgage rates for home purchase

Loan typeInterest rateA week agoChange
30-year fixed rate3.18%3.28%-0.10
15-year fixed rate2.44%2.53%-0.09
5/1 ARM rate3.08%3.07%+0.01
30-year fixed jumbo rate3.19%3.30%-0.11

Rates last updated on April 13, 2021.

These rates are marketplace averages based on the assumptions shown here. Actual rates displayed across the site may vary. This story has been reviewed by in-house editor Bill McGuire. All rate data accurate as of Tuesday, April 13th, 2021 at 12:00pm.

Mortgage rates for home purchase

Current 30 year mortgage rate moves lower, -0.10%

The average 30-year fixed-mortgage rate is 3.18 percent, a decrease of 10 basis points since the same time last week. This time a month ago, the average rate on a 30-year fixed mortgage was higher, at 3.24 percent.

At the current average rate, you’ll pay a combined $431.37 per month in principal and interest for every $100k you borrow. That’s $5.48 lower, compared with last week.

30-year mortgage vs. 15-year mortgage

Traditional lending practices defer to the 30-year, fixed-rate mortgage as the go-to for most borrowers as it allows the borrower to disperse payments out over 30 years, keeping their monthly payment lower.

With a 15-year mortgage, however, borrowers can pay off their loan in half the time — if they’re able and willing to bump up the amount of their monthly loan payment. The primary difference between qualifying for a 15-year versus a 30-year mortgage is that you’ll need a higher income and lower debt-to-income ratio to obtain a 15-year mortgage because the monthly loan payments are loftier.

15-year fixed mortgage drops,-0.09%

The average 15-year fixed-mortgage rate is 2.44 percent, down 9 basis points from a week ago.

Monthly payments on a 15-year fixed mortgage at that rate will cost roughly $664 per $100,000 borrowed. Yes, that payment is much bigger than it would be on a 30-year mortgage, 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 rapidly.

5/1 ARM rate moves higher, +0.01%

The average rate on a 5/1 adjustable rate mortgageis 3.08 percent, up 1 basis point over the last 7 days.

Adjustable-rate mortgages, or ARMs, are home loans that come with a floating interest rate. To put it another way, the interest rate can change intermittently throughout the life of the loan, unlike fixed-rate loans. These loan types are best for those who expect to sell or refinance before the first or second adjustment. Rates could be much higher when the loan first adjusts, and thereafter.

Monthly payments on a 5/1 ARM at 3.08 percent would cost about $426 for each $100,000 borrowed over the initial five years, but could ratchet higher by hundreds of dollars afterward, depending on the loan’s terms.

Jumbo loan interest rate moves lower, -0.11%

Today’s average rate for jumbo mortgages is 3.19 percent, down 11 basis points since the same time last week. A month ago, the average rate was higher, at 3.27 percent.

At today’s average jumbo rate, you’ll pay principal and interest of $431.92 for every $100,000 you borrow. That’s down $6.04 from what it would have been last week.

Rate review: How interest rates have changed this week

    30-year fixed mortgage rate: 3.18%, down from 3.28% last week, -0.10 15-year fixed mortgage rate: 2.44%, down from 2.53% last week, -0.09 5/1 ARM mortgage rate: 3.08%, up from 3.07% last week, +0.01 Jumbo mortgage rate: 3.19%, down from 3.30% last week, -0.11

Refinance rates

30-year mortgage refinance rate moves lower, –0.11%

The average 30-year fixed-refinance rate is 3.25 percent, down 11 basis points since the same time last week. A month ago, the average rate on a 30-year fixed refinance was higher, at 3.34 percent.

At the current average rate, you’ll pay $435.21 per month in principal and interest for every $100,000 you borrow. That’s a decline of $6.06 from last week.

6 steps to getting the best mortgage rate

    Improve your credit score Build a record of employment Save up for a down payment Go for a 15-year fixed-rate mortgage Shop among multiple lenders Lock in your rate

Learn more about how these steps can secure you a lower rate.

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