Based on data compiled by Credible, mortgage rates for home purchases have fallen across all terms since yesterday.
- 30-year fixed mortgage rates: 6.000%, down from 6.375%, -0.375
- 20-year fixed mortgage rates: 5.750%, down from 5.875%, -0.125
- 15-year fixed mortgage rates: 5.375%, down from 5.750%, -0.375
- 10-year fixed mortgage rates: 5.875%, down from 6.000%, -0.125
Rates last updated on March 14, 2023. These rates are based on the assumptions shown here. Actual rates may vary. Credible, a personal finance marketplace, has 5,000+ Trustpilot reviews with an average star rating of 4.7 (out of a possible 5.0).
What this means: Mortgage rates for home purchases fell across all repayment terms today, giving buyers an opportunity to save on interest. Rates for 15- and 30-year terms plunged more than a quarter of a percentage point, while rates for 10- and 20-year terms fell slightly. Borrowers who want a smaller monthly mortgage payment may want to consider 30-year rates, which are currently at their lowest levels since December 2022.
Based on data compiled by Credible, mortgage refinance rates have fallen across all terms since yesterday.
- 30-year fixed-rate refinance: 6.000%, down from 6.375%, -0.375
- 20-year fixed-rate refinance: 5.750%, down from 5.875%, -0.125
- 15-year fixed-rate refinance: 5.375%, down from 5.750%, -0.375
- 10-year fixed-rate refinance: 5.875%, down from 6.000%, -0.125
Rates last updated on March 14, 2023. These rates are based on the assumptions shown here. Actual rates may vary. With 5,000 reviews, Credible maintains an "excellent" Trustpilot score.
What this means: Mortgage refinance rates fell across all repayment terms today, with rates for 30-year terms falling more than a quarter of a percentage point. Homeowners looking to take advantage of maximum interest savings may want to consider 15-year rates, which are currently the lowest available at 5.375%. But homeowners looking to refinance into a longer term may want to lock in a 20-year rate today, while rates for this longer repayment term are under 6%.
How mortgage rates have changed over time
Today’s mortgage interest rates are well below the highest annual average rate recorded by Freddie Mac — 16.63% in 1981. A year before the COVID-19 pandemic upended economies across the world, the average interest rate for a 30-year fixed-rate mortgage for 2019 was 3.94%. The average rate for 2021 was 2.96%, the lowest annual average in 30 years.
The historic drop in interest rates means homeowners who have mortgages from 2019 and older could potentially realize significant interest savings by refinancing with one of today’s lower interest rates. When considering a mortgage refinance or purchase, it’s important to take into account closing costs such as appraisal, application, origination and attorney’s fees. These factors, in addition to the interest rate and loan amount, all contribute to the cost of a mortgage.
How Credible mortgage rates are calculated
Changing economic conditions, central bank policy decisions, investor sentiment and other factors influence the movement of mortgage rates. Credible average mortgage rates and mortgage refinance rates reported in this article are calculated based on information provided by partner lenders who pay compensation to Credible.
The rates assume a borrower has a 740 credit score and is borrowing a conventional loan for a single-family home that will be their primary residence. The rates also assume no (or very low) discount points and a down payment of 20%.
Credible mortgage rates reported here will only give you an idea of current average rates. The rate you actually receive can vary based on a number of factors.
How do I choose a mortgage lender?
A mortgage is likely the largest debt you’ll take on in life — one that will take decades to repay. So it’s critical to make sure you choose a mortgage lender and mortgage that work best for your needs and financial situation.
Here are some tips to help you choose a mortgage lender:
- Comparison shop. Compare rates and terms from multiple lenders. Just as you comparison shop for less important purchases, you should compare offers from several lenders. A Freddie Mac study found that adding just one quote to your mortgage search could save you $1,500 over the life of a loan. Adding five could save you about $3,000. Credible makes it easy to compare your prequalified rates from multiple lenders.
- Consider a mortgage broker. Mortgage brokers can do the legwork for you when it comes to finding a loan deal. But be aware that mortgage brokers typically make money by charging a small percentage of the loan for their services.
- Leverage relationships. Explore mortgage offerings from banks and financial institutions you already do business with. Loyalty and familiarity may work in your favor in negotiating a good mortgage deal.
- Look for referrals. Ask friends, family, coworkers and neighbors for referrals, and about their experiences with different lenders.
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