April 3, 2024—Rates Move Up – Forbes Advisor – Technologist

The rate on a 30-year fixed refinance inched up today.

The average rate on a 30-year fixed mortgage refinance is 7.48%, according to Curinos, while the average rate on a 15-year mortgage refinance is 6.65%. On a 20-year mortgage refinance, the average rate is 7.34%.

Related: Compare Current Refinance Rates

Refinance Rates for April 3, 2024

30-Year Fixed Refinance Interest Rates

Today, the average rate for the 30-year fixed-rate mortgage refinance inched up to 7.48% from yesterday. Last week, the 30-year fixed was 7.37%.

The 30-year fixed mortgage refi APR (annual percentage rate) is 7.53%. At this time last week, it was 7.40%. APR is the all-in cost of your loan.

According to the Forbes Advisor mortgage calculator, borrowers with a 30-year fixed-rate mortgage refi of $100,000 will pay $698 per month in principal and interest (not accounting for taxes and fees) at today’s interest rate of 7.48%. In total interest, you’d pay $151,126 over the life of the loan.

20-Year Refinance Interest Rates

The 20-year fixed mortgage refinance is currently averaging about 7.34%. That’s compared to the average of 7.25% at this time last week.

The APR, or annual percentage rate, on a 20-year fixed mortgage is 7.36% compared to 7.30% at this time last week.

At the current interest rate of 7.34%, a 20-year, fixed-rate mortgage refinance of $100,000 would pay $796 per month in principal and interest. That doesn’t include taxes and fees. That borrower would pay roughly $90,972 in total interest over the life of the loan.

15-Year Refinance Interest Rates

For a 15-year fixed refinance mortgage, the average interest rate is currently 6.65% compared to 6.59% at this time last week.

The APR, or annual percentage rate, on a 15-year fixed mortgage is 6.64%. That compares to 6.58% at this time last week.

Using the current interest rate of 6.65%, a 15-year, fixed-rate mortgage refinance of $100,000 would cost $879 per month in principal and interest—not including taxes and fees. That would equal about $58,297 in total interest over the life of the loan.

30-Year Jumbo Refinance Interest Rates

The average interest rate on the 30-year fixed-rate jumbo mortgage refinance is 7.48%. One week ago, the average rate was 7.37%.

Borrowers with a 30-year fixed-rate jumbo mortgage refinance with today’s interest rate of 7.48% will pay $698 per month in principal and interest per $100,000.

15-Year Jumbo Refinance Interest Rates

A 15-year, fixed-rate jumbo mortgage refinance has an average interest rate of 7.11%, compared to an average of 6.95% last week.

At today’s rate of 7.11%, a borrower would pay $905 per month in principal and interest per $100,000 for a 15-year, fixed-rate jumbo refi. Over the life of the loan, that borrower would pay around $471,811 in total interest.

Are Refinance Rates and Mortgage Rates the Same?

Mortgage lenders charge different interest rates for purchase and refinance loans. Current refinance rates are typically 0.01% to 0.15% higher for a 30-year fixed rate versus a purchase loan.

You can reduce your interest rate by paying your closing costs up front instead of rolling them into the loan with a no-closing-cost refinance loan. Buying discount points and avoiding mortgage insurance can also help.

Know When To Refinance Your Home

There are lots of good reasons to  refinance your mortgage, but for most homeowners, it comes down to lowering the interest rate, reducing monthly payments or paying off the loan more quickly. Refinancing can also allow you to tap some of your home’s equity or eliminate private mortgage insurance (PMI).

It’s important to keep in mind that refinancing carries costs, and for that reason makes more sense if you plan to stay in your home for some time. It can be helpful to calculate the “break-even point” for a potential refinance—to see how long it will take for savings from the new mortgage to outweigh closing costs. Try to find out what those fees will be and divide them by the monthly savings from the new mortgage.

Check out our mortgage refinance calculator to help you decide if this is a good time to refinance.

Is Now a Good Time To Refinance?

Refinancing your mortgage can be worth it for reasons that include:

• Lowering monthly payments. You might be able to reduce your monthly payment by extending your repayment period or qualifying for a better interest rate.
• Reducing your interest rate. Switching from a 30-year mortgage to a shorter term, like 15 or 20 years, can help you get a better interest rate and pay less interest overall.
• Ending annual service fees. FHA and USDA loans can charge annual fees for the life of the loan. If you have at least 20% equity, converting to a conventional mortgage refinance lets you avoid mortgage insurance premiums and guarantee fees.
• Switching to a fixed interest rate. You may also refinance an adjustable-rate mortgage into a fixed interest rate to avoid future rate hikes that increase your monthly payment and total borrowing costs.
• Borrowing your home equity: A cash-out refinance allows you to tap your home equity to consolidate high-interest debt and pay for personal expenses. The mortgage refinance interest rate can be lower than unsecured personal loans.

Lenders offer multiple mortgage refinance options to help you quickly compare your potential rate and monthly payment. Refinancing can also provide more repayment flexibility.Now isn’t a good time to refinance if you cannot get a smaller monthly payment or the closing costs offset the potential benefits of having a new rate and term.How To Get Today’s Best Refinance RatesRefinancing a mortgage isn’t that different than taking out a mortgage in the first place, and it’s always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate:

• Polish up your credit score
• Lower your debt-to-income ratio
• Keep an eye on mortgage rates
• Consider a shorter loan

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