Mortgage Rates: Refinancing Borrowers Choose Shorter Term Loans

A report released yesterday by Freddie Mac found that in the second quarter of 2010, mortgage refinancing borrowers overwhelmingly chose fixed-rate loans. This was the case regardless of whether their original loan was an adjustable-rate mortgage (ARM) or a fixed-rate.

Long term mortgage rates are so low these days those looking to refinance rate taking advantage of the lowest rates ever. We probably won't see mortgage rates this low again in our lifetime. That being said, if you're thinking about refinancing or buying a home now is the time.

You can lock in a mortgage rate or 60 days or more when you apply for a home loan. Current 30 year mortgage rates can be found as low as 4.25 percent. 15 year mortgage rates can be found as low as 3.50 percent. You can get mortgage rates even lower if you're willing to pay mortgage discount points up front.

In Freddie Mac's report they found when refinancing 30-year fixed-rate mortgages are still the most preferred product chosen for the new loan, 15-year fixed-rate mortgages gained favor among refinancers who previously held 30-year fixed-rate mortgages, balloon mortgages and ARMs. Overall, fixed-rate loans accounted for more than 95 percent of refinance loans.

If you're looking for mortgage rates or refinance mortgage rates you can see where mortgage rates are these days by viewing our national average mortgage rate report released eariler this week:

Mortgage Rates

Current 30 year mortgage rates are averaging 4.60 percent, down from the previous week’s average 30 year mortgage rate of 4.71 percent. 30 year refinance mortgage rates are also down this week averaging 4.60 percent.

15 year mortgage rates today are averaging 3.85 percent, down from last week’s average 15 year mortgage interest rate of 4.04 percent. Current 15 year mortgage refinance rates are also lower averaging 4.04 percent.

Jumbo Mortgage Rates

30 year jumbo mortgage rates are averaging 5.07 percent, down from last week’s average 30 year year jumbo mortgage rate of 5.30 percent. Current 30 year jumbo mortgage refinance rates are also down to 5.07 percent this week.

15 year jumbo mortgage rates are averaging 4.68 percent, a decline from the previous week’s average jumbo mortgage rate of 4.81 percent. 15 year jumbo refinance mortgage rates today are also down averaging 4.68 percent.

Conventional Adjustable Mortgage Rates

Current 1 year adjustable mortgage rates are averaging 3.19 percent, down  from last week’s average 1 year adjustable interest mortgage rate of 3.21. Today’s 1 year conforming adjustable refinance mortgage interest rates are also down averaging 3.19 percent.

3 year adjustable mortgage rates are up slightly averaging 4.00 percent, up from the prior week’s average 3 year adjustable rate mortgage of 3.97 percent. Current 3 year mortgage refinance rates are also averaging 4.00 percent this week.

Today’s 5 year adjustable mortgage interest rates are averaging 3.54 percent, down from the prior week’s average home loan rate of 3.55 percent. 5 year refinance home mortgage rates are averaging 3.54 percent.

7 year conventional adjustable mortgage rates are averaging 3.86 percent this week, down from the prior week’s average 7 year home mortgage rate of 3.96 percent. 7 year mortgage refinance rates are also lower averaging  3.86 percent.

Current 10 year adjustable mortgage rates are averaging 4.20 percent this week, a decline from the previous week’s average 10 year adjustable mortgage rate of 4.27 percent. 10 year home mortgage refinance rates are also lower this week averaging 4.20 percent.

Jumbo Adjustable Mortgage Rates

1 year jumbo adjustable mortgage loan rates today are averaging 5.35 percent, no change from last week’s average 1 year jumbo adjustable mortgage rate. Today’s 1 year jumbo refinance mortgage rates today are also averaging 5.35 percent.

3 year jumbo adjustable mortgage rates today are averaging 4.27 percent, up slightly from last week’s average jumbo interest mortgage rate of 4.26 percent.  3 year jumbo refinance mortgage rates are also averaging 4.27 percent.

5 year jumbo adjustable home mortgage rates are averaging 3.91 percent this week, down from last week’s average mortgage rate of 3.96 percent. Current 5 year jumbo mortgage refinance rates are also down to 3.91 percent this week.

Current 7 year jumbo adjustable mortgage rates current are averaging 4.55 percent, down from last week’s average 7 year home mortgage rate of 4.61 percent. Today’s 7 year jumbo refinance mortgage rates are also lower averaging 4.55 percent.

10 year jumbo mortgage rates are averaging 5.07 percent, down from the previous week’s average 10 year jumbo home mortgage rates of 5.10 percent. 10 year jumbo home refinance interest rates are also down averaging 5.07 percent.

Conventional Interest Only Adjustable Mortgage Rates

3 year interest only adjustable mortgage rates are averaging 4.16 percent, unchanged from down from last week’s average interest only mortgage loan rate. 3 year interest only adjustable refinance mortgage rates are also unchanged averaging 4.16 percent.

5 year interest only adjustable mortgage rates are averaging 3.73 percent, down from last week’s average five year interest only mortgage loan rate of 3.81 percent. 5 year interest only adjustable refinance mortgage rates are also lower averaging 3.73percent.

7 year interest only home adjustable mortgage rates currently are averaging 4.04 percent, a decline from last week’s average 7 year interest-only mortgage interest rate of 4.12 percent. 7 year adjustable refinance rate mortgages are lower averaging 4.04 percent.

Interest Only Adjustable Mortgage Rates Jumbo

3 year jumbo interest only loan adjstuable mortgage rates are averaging 4.63 percent, down from last week’s average jumbo adjustable interest only mortgage rate of 4.64 percent. Current  jumbo IO adjustable refinance rates are also down averaging 4.63 percent.

Today’s 5 year adjustable jumbo interest only home loan rates are at 4.33 percent, up from an average IO home mortgage rate of 4.30 percent the previous week. 5 year jumbo adjustable IO loan rates are also averaging 4.33 percent.

7 year jumbo IO adjustable mortgage rates currently are averaging 4.90 percent, down from an average jumbo 7 year home mortgage rate of 4.95 percent last week. 7 year jumbo adjustable interest-only mortgage rates are also down averaging 4.9o percent.

Home Equity Loan Rates

Current 10 year home equity loan rates are averaging 7.115 percent, no change from last week’s average home equity loan rate.

15 year home equity rates today are averaging 7.433 percent this week, unchanged from last week’s average home equity loan rate.

Home Equity Line of Credit Rates

Today’s average home equity line of credit rates (HELOC) are at 4.762 percent this week, no change from last week’s average HELOC rate.

Use our mortgage calculator to figure out your monthly mortgage payments. We also offer free mortgage rates widgets that are great for real estate agent websites, mortgage broker websites or any other real estate related website.
Author: Brian McKay
August 12th, 2010
Posted in: Bank Mortgage Rates