Lower rates for most loans

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Different types of mortgages charge different rates. Here are today’s average mortgage rates for fixed and adjustable rate mortgages.

On January 26, 2022, average mortgage rates are down for most loans. Whether you’re considering a fixed rate or an adjustable rate loan, you can view the rates below to see what you could pay if you borrowed to buy a home today.

Type of mortgage

Today’s interest rate

30-year fixed mortgage


20-year fixed mortgage


15-year fixed mortgage


ARM 5/1


The data source: The National Mortgage Interest Rate Tracker from The Ascent.

30-year mortgage rates

The average 30-year mortgage rate today is 3.762%, down 0.012% from yesterday’s average of 3.774%. A loan at the current average rate would come with a monthly principal and interest payment of $464 for every $100,000 borrowed. Over the life of the loan, your total interest costs would be $66,967 for every $100,000 borrowed.

20-year mortgage rates

The average 20-year mortgage rate today is 3.434%, up 0.031% from yesterday’s average of 3.403%. At the current average rate, the monthly principal and interest payment would total $557 per $100,000 of mortgage debt. Total interest costs would be $38,378 per $100,000 borrowed at the current average rate.

This is a cheaper loan over time than the 30-year loan, but the monthly payments for the latter are more expensive. Shortening the payment term increases the monthly payments due since you are not making as many payments. It also reduces total borrowing costs because you pay interest for less time.

15-year mortgage rates

The average 15-year mortgage rate today is 2.964%, down 0.017% from yesterday’s average of 2.981%. If you borrowed at today’s average rate, you would have a monthly principal and interest repayment of $689 for every $100,000 borrowed. Total interest costs would be $23,993 for every $100,000 borrowed over the life of the loan.

With such a short repayment time, each monthly payment is much higher on a 15-year loan. This can complicate mortgage eligibility and strain your household budget. But if this loan is affordable, it significantly reduces total repayment costs over time.

RMA 5/1

The average ARM 5/1 rate is 3.079%, down 0.057% from yesterday’s average of 3.136%. An ARM is an adjustable rate loan, which means that this rate can change. It is locked for the first five years with an ARM 5/1, then can change once a year thereafter. If your rate goes up, it also makes your monthly payments and the total cost of the loan more expensive.

Should I lock in my mortgage rate now?

A mortgage rate lock guarantees you a certain interest rate for a set period of time – usually 30 days, but you may be able to guarantee your rate for up to 60 days. You’ll usually pay a fee to lock in your mortgage rate, but that way you’re protected if rates go up between now and when you close out your mortgage.

If you plan to close on your home in the next 30 days, it pays to lock in your mortgage rate based on today’s rates, especially since they’re still quite competitive, historically speaking. But if your close is more than 30 days away, you might want to choose a variable rate lock instead for what will usually be higher fees, but could save you money in the long run. A variable rate lock allows you to get a lower rate on your mortgage if rates drop before you close, and while today’s rates are still quite low, we don’t know if rates will go up or down. over the next few months. As such, it pays for:

  • LOCK if closing seven days
  • LOCK if closing 15 days
  • LOCK if closing 30 days
  • FLOAT if closing 45 days
  • FLOAT if closing 60 days

To find out what rates are available to you, compare the rates of at least three of the best mortgage lenders before committing.

A Historic Opportunity to Save Potentially Thousands of Dollars on Your Mortgage

Chances are interest rates won’t stay at multi-decade lows much longer. That’s why it’s crucial to act today, whether you want to refinance and lower your mortgage payments or are ready to pull the trigger on buying a new home.

Ascent’s in-house mortgage expert recommends this company find a low rate – and in fact, he’s used them himself to refi (twice!). Click here to learn more and see your rate. While this does not influence our product opinions, we do receive compensation from partners whose offers appear here. We are by your side, always. See The Ascent’s full announcer disclosure here.

About Kimberly Alley

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