January 18, 2022 — Rate hike – Forbes Advisor

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The rate for a 30-year fixed mortgage increased slightly today. Yet rates are still historically low overall.

The average rate for a 30-year fixed mortgage is 3.58%, according to Bankrate.com. On a 15-year fixed mortgage, the average rate is 2.92%. The average rate on a 30-year jumbo mortgage is 3.58% and the average rate on a 5/1 ARM is 2.77%.

Related: Compare current mortgage rates

30-year fixed mortgage interest rate

The average rate increased on a 30-year fixed mortgage from 3.54% to 3.58% a day ago. The 52-week low is 2.83%.

On a 30-year fixed mortgage, the APR is 3.65%, higher than it was last week. The APR, or annual percentage rate, consists of the interest rate of a loan and the finance charges of a loan. This is the overall cost of your loan.

At an interest rate of 3.58%, a 30-year fixed mortgage would cost $454 per month in principal and interest (taxes and fees not included) per $100,000, according to the Forbes Advisor mortgage calculator. The total interest paid over the life of the loan will be approximately $63,268.

15-year mortgage rates

Today, the 15-year fixed mortgage rate is 2.92%, higher than it was yesterday. Last week it was 2.84%. Today’s rate is above the 52-week low of 2.28%.

The APR on a 15-year fixed is 3.08%. This time last week it was 3.02%.

With an interest rate of 2.92%, you would pay 687 per month in principal and interest for every $100,000 borrowed. Over the term of the loan, you will pay $23,613 in total interest.

Giant Mortgage Rates

The average interest rate on the 30-year fixed rate jumbo mortgage is 3.58%. Last week, the average rate was 3.54%. The 30-year fixed rate on a jumbo mortgage is currently above the 52-week low of 2.85%.

Borrowers with a 30-year fixed-rate jumbo mortgage with a current interest rate of 3.58% will pay $454 per month in principal and interest per $100,000. This means that on a $750,000 loan, the monthly principal and interest payment would be approximately $3,401, and you would pay approximately $474,510 in total interest over the life of the loan.

5/1 ARM interest rate

The average interest rate on a 5/1 ARM is 2.77%, higher than the 52-week low of 2.82%. Last week, the average rate was 2.73%.

Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 2.77% will pay $409 a month in principal and interest.

Calculate your mortgage payment

Mortgages and mortgage lenders are often a necessary part of buying a home, but figuring out what you’re paying and what you can actually afford can be tricky.

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.

Gather these data points to calculate your monthly mortgage payment:

  • house price
  • Deposit amount
  • Interest rate
  • term of the loan
  • Taxes, insurance and all HOA fees

Determine how much house you can afford

The amount of home you can afford depends on a number of factors, including your income and debt.

Here are some basic factors that go into what you can afford:

  • Your income
  • Your debt
  • Your debt ratio, or DTI
  • Your deposit
  • Your credit score

What is an APR and why is it important?

The APR, or annual percentage rate, is the overall cost of your loan. It includes interest and finance charges for your loan, taking into account interest, fees and time.

Since the APR includes both the interest rate and some fees associated with a home loan, the APR can help you understand the total cost of a mortgage if you hold it for the full term. The APR will generally be higher than the interest rate, but there are exceptions.

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