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Today, the average rate on a 30-year fixed mortgage is 6.56%, according to Bankrate.com, while the average rate on a 15-year mortgage is 5.63%. On a 30-year jumbo mortgage, the average rate is 6.60%, and the average rate on a 5/1 ARM is 5.33%.
Related: Compare Current Mortgage Rates
Mortgage Rates for January 23, 2023
30-Year Fixed Mortgage Interest Rates
Borrowers paid an average rate on a 30-year fixed-rate mortgage of 6.56%. This was up from the previous week’s rate of 6.49%.
Currently, the average annual percentage rate (APR) on a 30-year fixed-rate mortgage is 6.57%. This is higher than last week when the APR was 6.50%. The APR contains both mortgage interest and the lender fees to help give a more complete picture of loan costs.
To get an idea how much you’ll pay: a $100,000 mortgage with a 30-year fixed-rate loan at the current average interest rate of 6.56% will cost you about $636, including principal and interest (taxes and fees not included) each month, the Forbes Advisor mortgage calculator shows. That’s around $128,967 in total interest over the life of the loan.
15-Year Fixed Mortgage Rates
The average interest rate on the 15-year fixed mortgage sits at 5.63%. This same time last week, the 15-year fixed-rate mortgage was at 5.74%.
On a 15-year fixed, the APR is 5.65%. Last week it was 5.76%.
A 15-year fixed-rate mortgage of $100,000 with today’s interest rate of 5.63% will cost $824 per month in principal and interest. Over the life of the loan, you would pay $48,320 in total interest.
Jumbo Mortgage Rates
The current average interest rate on a 30-year fixed-rate jumbo mortgage is 6.60%. Last week, the average rate was 6.50%. Over the past year, the rate on a 30-year jumbo mortgage has been as high as 7.27% and as low as 6.35%.
If you lock in today’s rate of 6.50% on a 30-year, fixed-rate jumbo mortgage, you will pay $639 per month in principal and interest per $100,000 in financing. That means that on a $750,000 loan, the monthly principal and interest payment would be around $4,790, and you’d pay around $974,379 in total interest over the life of the loan.
5/1 ARM Rates
Today’s average interest rate on a 5/1 ARM is 5.33%. In the past 52 weeks, the the highest 5/1 ARM rate was 5.60%.
Borrowers with the current rate of 5.33% will spend $557 on principal and interest per month on a $100,000 loan.
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. A good place to start is 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?
The annual percentage rate, or APR, encompasses the mortgage interest rate and lender fees over the total life of the loan. It’s important because it can give homebuyers a more complete picture of total costs, not just the interest rate.
Comparing APR among lenders is a better way to see overall costs because it will show you everything from interest rate to fees.
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