July 19, 2022—Rates Drop – Forbes Advisor


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Today’s average rate on a 30-year fixed mortgage is 5.82%, down 0.02% from the previous week.

Borrowers may be able to save on interest costs by going with a 15-year fixed mortgage, as they typically have a lower rate than that of a 30-year, fixed-rate home loan. The average rate on a 15-year fixed mortgage is 4.95%. However, a 15-year mortgage means you are paying off the house in half the amount of time compared to a 30-year term, so your monthly payments will be higher.

Related: Compare Current Mortgage Rates

30-Year Fixed Mortgage Rates

The average rate fell on a 30-year fixed mortgage, slipping to 5.82% from 5.88% yesterday. Today’s rate is lower than the 52-week high of 6.11%.

The 30-year fixed mortgage APR is 5.83%. At this time last week, it was 5.85%. Here’s why APR is important.

According to the Forbes Advisor mortgage calculator, borrowers with a 30-year fixed-rate mortgage of $100,000 will pay $588 per month in principal and interest (taxes and fees not included) at today’s interest rate of 5.82%. You’d pay approximately $50,149 in total interest over the life of the loan.

15-Year Fixed Mortgage Rates

The average interest rate on the 15-year fixed mortgage is 4.95%. This same time last week, the 15-year fixed-rate mortgage was at 4.97%. Today’s rate is higher than the 52-week low of 4.60%.

On a 15-year fixed, the APR is 4.98%. Last week it was 4.99%.

With an interest rate of 4.95%, you would pay $534 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you would pay $41,874 in total interest.

Jumbo Mortgage Rates

On a 30-year jumbo, the average interest rate sits at 5.81%, lower than it was at this time last week. The average rate was 5.87% at this time last week. The 30-year fixed rate on a jumbo mortgage is currently higher than the 52-week low of 6.11%.

Borrowers with a 30-year fixed-rate jumbo mortgage with today’s interest rate of 5.81% will pay $587 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 $587, and you’d pay approximately $50,053 in total interest over the life of the loan.

5/1 Adjustable-Rate Mortgage Rates

On a 5/1 ARM, the average rate fell to 4.26% from 4.27% yesterday. The average rate was 4.26% last week. Today’s rate is currently lower than the 52-week high of 4.32%.

Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 4.26% will pay $493 per month in principal and interest.

How to Calculate Mortgage Payments

For much of the population, buying a home means working with a mortgage lender to get a mortgage. It can be tricky to figure out how much you can afford and what you’re paying for.

To estimate your monthly mortgage payment, you can use a mortgage calculator. It will provide you with an estimate of your monthly principal and interest payment based on your interest rate, down payment, purchase price and other factors.

To calculate your monthly mortgage payment, here’s what you’ll need:

  • The home price
  • Your down payment amount
  • The interest rate
  • The loan term
  • Any taxes, insurance and any HOA fees

Figuring Out How Much House You Can Afford

How much The house you can afford depends on a number of factors, including your income and debt.

Here are a few fundamental factors that go into what you can afford:

  • Your income
  • Your debt
  • Your debt-to-income ratio, or DTI
  • Your down payment
  • Your credit score

Why APR Is Important

Annual percentage rate, or APR, takes into account interest, fees and time. It’s the total cost of your loan and includes both the loan’s interest rate and its finance charges.

APR can help you understand the total cost of a mortgage if you keep it for the full term. Keep in mind that the APR is often higher than the interest rate.



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