August 26, 2022—Rates Advance – Forbes Advisor


Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors’ opinions or evaluations.

The average rate on a 30-year fixed mortgage is 5.90% with an APR of 5.91%, according to Bankrate.com. The 15-year fixed mortgage has an average rate of 5.12% with an APR of 5.14%. On a 30-year jumbo mortgage, the average rate is 5.91% with an APR of 5.91%. The average rate on a 5/1 ARM is 4.40% with an APR of 6.07%.

Related: Compare Current Mortgage Rates

30-Year Mortgage Rates

Borrowers will pay more in interest this week as the average rate on a 30-year fixed-rate mortgage is 5.90% compared to a rate of 5.68% a week ago. The lowest rate was 5.26% over the past 52 weeks and the highest was 6.11% in the same period.

The annual percentage rate (APR), which includes the interest and all of the lender fees, on a 30-year, fixed-rate mortgage is 5.91%. The APR was 5.69% last week.

If your mortgage is $100,000 and you have a 30-year, fixed-rate mortgage with the current rate of 5.90%, you will pay about $593 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. That’s around $113,529 in total interest over the life of the loan.

15-Year Fixed Mortgage Rates

Today’s 15-year, fixed-rate mortgage is 5.12%, up 0.18% from the previous week. The same time last week, the 15-year, fixed-rate mortgage was at 4.94%. Today’s rate is higher than the 52-week low of 4.62%.

The APR on a 15-year fixed is 5.14%. It was 4.97% a week earlier.

A 15-year, fixed-rate mortgage with today’s interest rate of 5.12% will cost $797 per month in principal and interest on a $100,000 mortgage (not including taxes and insurance). In this scenario, borrowers would pay approximately $43,471 in total interest.

Jumbo Mortgage Rates

The average interest rate on the 30-year fixed-rate jumbo mortgage is 5.91%. Last week, the average rate was 5.70%. The 30-year fixed rate on a jumbo mortgage is currently higher than the 52-week low of 5.19%.

Borrowers with a 30-year fixed-rate jumbo mortgage with today’s interest rate of 5.91% will pay $594 per month in principal and interest per $100,000. That means that on a $750,000 loan, the monthly principal and interest payment would be around $4,453, and you’d pay around $853,197 in total interest over the life of the loan.

5/1 ARM Interest Rates

Currently, the average interest rate on a 5/1 ARM is 4.40%, up from the 52-week low of 3.94%. Last week, the average rate was 4.34%.

Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 4.40% will spend $501 per month in principal and interest.

How to Calculate Mortgage Payments

Get to know your budget before you look for a house. This will give you an idea of the type of house you can afford. Start by using a mortgage calculator to get a rough estimate.

Simply input the following information:

  • Home price
  • Down payment amount
  • Interest rate
  • Loan term
  • Taxes, insurance and any HOA fees

What’s an APR, and Why Is It Important?

APR, or annual percentage rate, is a calculation that includes both a loan’s interest rate and a loan’s finance charges, expressed as an annual cost over the life of the loan. In other words, it’s the total cost of credit. APR accounts for interest, fees and time.

Since APRs include both the interest rate and certain fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you keep it for the entire term. The APR will usually be higher than the interest rate, but there are exceptions.



Source link

Home
We will be happy to hear your thoughts

Leave a reply

Best & Lowest Rates of all online shopping Products
Logo
Compare items
  • Total (0)
Compare
0
Shopping cart