Average mortgage rates fell across all terms from a week ago, according to data compiled by Bankrate. Rates for 30-year fixed, 15-year fixed, 5/1 ARMs and jumbo loans all receded.
Rates as of December 27, 2021.
The rates listed above are averages based on the assumptions shown here. Actual rates listed within the site may vary. This story has been reviewed by in-house editor Bill McGuire. All rate data accurate as of Monday, December 27th, 2021 at 7:30am.
>>See historical mortgage rate trends, from the 70s to today
You can save thousands of dollars over the life of your mortgage by getting multiple offers. “It is so important to shop around,” says Greg McBride, CFA, Bankrate chief financial analyst. “Not everyone offers the same price, and some lenders may have motivation to be very competitive on price.”
- Mortgage interest rates
- 30-year mortgage slides, -0.05%
- 15-year fixed mortgage rate trends down,-0.02%
- 5/1 ARM rate retreats, -0.01%
- Jumbo mortgage rate retreats, -0.06%
- In summary: How interest rates have changed this week
- Interested in refinancing? See mortgage refinance rates
- Today’s 30-year mortgage refinance rate moves down, –0.05%
- What factors determine my mortgage rate?
- Keep reading:
- Featured lenders for today, December 27, 2021
Mortgage interest rates
30-year mortgage slides, -0.05%
The average 30-year fixed-mortgage rate is 3.19 percent, down 5 basis points since the same time last week. Last month on the 27th, the average rate on a 30-year fixed mortgage was lower, at 3.18 percent.
At the current average rate, you’ll pay $428.10 per month in principal and interest for every $100k you borrow. That’s lower by $6.56 than it would have been last week.
15-year fixed mortgage rate trends down,-0.02%
The average rate for the benchmark 15-year fixed mortgage is 2.50 percent, down 2 basis points over the last seven days.
Monthly payments on a 15-year fixed mortgage at that rate will cost approximately $390 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 save thousands of dollars over the life of the loan in total interest paid and build equity much more quickly.
5/1 ARM rate retreats, -0.01%
The average rate on a 5/1 ARM is 2.74 percent, ticking down 1 basis point since the same time last week.
Adjustable-rate mortgages, or ARMs, are home loans that come with a floating interest rate. In other words, the interest rate can change intermittently throughout the life of the loan, unlike fixed-rate mortgages. These loan types are best for people who expect to refinance or sell 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 2.74 percent would cost about $402 for each $100,000 borrowed over the initial five years, but could increase by hundreds of dollars afterward, depending on the loan’s terms.
Jumbo mortgage rate retreats, -0.06%
The average rate for a jumbo mortgage is 3.18 percent, down 6 basis points over the last seven days. This time a month ago, the average rate was below that, at 3.17 percent.
At the current average rate, you’ll pay a combined $428.10 per month in principal and interest for every $100k you borrow. That’s a decline of $6.56 from last week.
In summary: How interest rates have changed this week
- 30-year fixed mortgage rate: 3.19%, down from 3.24% last week, -0.05
- 15-year fixed mortgage rate: 2.50%, down from 2.52% last week, -0.02
- 5/1 ARM mortgage rate: 2.74%, down from 2.75% last week, -0.01
- Jumbo mortgage rate: 3.18%, down from 3.24% last week, -0.06
Interested in refinancing? See mortgage refinance rates
Today’s 30-year mortgage refinance rate moves down, –0.05%
The average 30-year fixed-refinance rate is 3.16 percent, down 5 basis points compared with a week ago. A month ago, the average rate on a 30-year fixed refinance was lower, at 3.15 percent.
At the current average rate, you’ll pay $428.10 per month in principal and interest for every $100,000 you borrow.
What factors determine my mortgage rate?
Lenders consider several items when pricing your interest rate:
- Credit score
- Down payment
- Property location
- Loan amount/closing costs
- Loan type
- Loan term
- Interest rate type