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Our goal here at Credible Operations, Inc., NMLS number 1681276, referred to as “Credible” below, is to give you the tools and confidence you need to improve your finances. Although we promote the products of our partner lenders who pay us for our services, all opinions are ours.
View mortgage rates for September 10, 2021, which are down from yesterday. (iStock)
Based on data compiled by Credible, mortgage rates have mostly fallen since yesterday.
- Fixed mortgage rates over 30 years: 2.750%, compared to 2.875%, -0.125
- 20-year fixed mortgage rates: 2.375%, compared to 2.500%, -0.125
- Fixed mortgage rates over 15 years: 2,000%, compared to 2.125%, -0.125
- 10-year fixed mortgage rates: 2,000%, unchanged
Prices last updated on September 10, 2021. These prices are based on the assumptions indicated here. Actual rates may vary.
What does that mean: Mortgage rates for all terms end the week at or near an all-time high, but the 20-year term is the bargain. As just 2.375% – the lowest on this term since February – homebuyers can save significantly on interest while still keeping their monthly mortgage payment manageable. Mortgage rates overall promise significant interest savings – the average mortgage interest rate fell to 2.281% today, the lowest since August 4.
To find the best mortgage rate, start by using Credible, which can show you current mortgage and refinance rates:
Browse the rates of several lenders to make an informed decision about your home loan.
Credible, a personal finance marketplace, has 4,500 Trustpilot reviews with an average rating of 4.7 stars (out of a possible 5.0).
Looking at Mortgage Refinance Rates Today
Today’s 20-year mortgage refinance rates have fallen to an all-time high of 2.375% – rates for that term were only as low as once again in July. Homeowners looking to refinance should act quickly to lock in this low rate, which could allow them to keep their monthly payment manageable while achieving significant interest savings. If you are considering refinancing an existing home, find out what refinancing rates look like:
- Refinancing at a fixed rate over 30 years: 2.750%, unchanged
- Refinancing at a fixed rate over 20 years: 2.375%, compared to 2.500%, -0.125
- Refinancing at a fixed rate over 15 years: 2,000%, unchanged
- Refinancing at a fixed rate over 10 years: 2,000%, unchanged
Prices last updated on September 10, 2021. These prices are based on the assumptions indicated here. Actual rates may vary.
A site like Credible can be of great help when you are ready to compare mortgage refinancing loans. Credible allows you to view prequalified rates for conventional mortgages from multiple lenders within minutes. Visit Credible today to start.
Credible has received a 4.7-star rating (out of a possible 5.0) on Trustpilot and over 4,500 customer reviews who have safely compared prequalified rates.
How Much Can I Borrow for a Mortgage?
It’s essential to have an idea of how much you can afford to borrow for a mortgage before you start home shopping or bid on a home.
Generally, the 28/36 rule is a good measure of how much you can afford to borrow without draining your finances. The rule is that your mortgage payment, including taxes and insurance, should not exceed 28% of your gross monthly income. And all of your debt, including your mortgage and other monthly expenses like car and student loan payments, shouldn’t exceed 36% of your gross monthly income.
For example, if your gross monthly income is $ 6,250 (annual salary of $ 75,000), you should be able to afford a monthly payment of $ 1,750. And your total monthly debt shouldn’t exceed $ 2,250.
As a general rule, you shouldn’t take out a mortgage that is two to two and a half times your gross annual income. So, in the scenario above, the maximum you would need to borrow to buy a house would be $ 187,500.
Ultimately, lenders determine how much you can afford to borrow by weighing your income, debt, assets, credit, and other financial factors.
Current mortgage rates
Average mortgage interest rates fell to 2.281% today – the lowest since August 4.
Current 30-year mortgage rates
The current interest rate for a 30 year fixed rate mortgage is 2.750%. This is down from yesterday. Thirty years is the most common mortgage repayment term because 30-year mortgages typically give you a lower monthly payment. But they also usually come with higher interest rates, which means you’ll end up paying more interest over the life of the loan.
Current 20-year mortgage rates
The current interest rate for a 20 year fixed rate mortgage is 2.375%. This is down from yesterday. Shortening your repayment term by just 10 years can mean you’ll get a lower interest rate and pay less total interest over the life of the loan.
Current 15-year mortgage rates
The current interest rate for a 15 year fixed rate mortgage is 2,000%. This is down from yesterday. Fifteen-year mortgages are the second most common mortgage term. A 15-year mortgage can help you earn a lower rate than a 30-year term and pay less interest over the life of the loan, while still keeping monthly payments manageable.
Current 10-year mortgage rates
The current interest rate for a 10 year fixed rate mortgage is 2,000%. It’s the same as yesterday. While less common than 30- and 15-year mortgages, a 10-year fixed-rate mortgage usually gives you lower interest rates and lifetime interest charges, but a higher monthly mortgage payment.
You can explore your mortgage options in minutes by visiting Credible to compare the current rates of various lenders who offer mortgage refinances as well as home loans. Discover Credible and get prequalified today, and take a look at today’s refinance rates via the link below.
Thousands of Trustpilot reviewers rate Credible “excellent”.
Prices last updated on September 10, 2021. These prices are based on the assumptions indicated here. Actual rates may vary.
How credible mortgage rates are calculated
Changing economic conditions, central bank policy decisions, investor sentiment and other factors influence the development of mortgage rates. Credible’s average mortgage rates and mortgage refinance rates are calculated based on information provided by partner lenders who compensate Credible.
The rates assume that a borrower has a credit score of 740 and borrows a conventional loan for a single family home that will be their primary residence. Rates also assume zero (or very low) discount points and a 20% deposit.
Credible mortgage rates will only give you an idea of current average rates. The rate you receive may vary depending on a number of factors.
How mortgage rates have changed
Today, mortgage rates are mixed compared to the same period last week.
- Fixed mortgage rates over 30 years: 2.750%, the same as last week
- 20-year fixed mortgage rates: 2.375%, compared to 2.500% last week, -0.125
- Fixed mortgage rates over 15 years: 2,000%, compared to 2.125% last week, -0.125
- 10-year fixed mortgage rates: 2,000%, same as last week
Prices last updated on September 10, 2021. These prices are based on the assumptions indicated here. Actual rates may vary.
If you are trying to find the right rate for your mortgage or are looking to refinance an existing home, consider using Credible. You can use Credible’s free online tool to easily compare multiple lenders and see prequalified rates in minutes.
With over 4,500 reviews, Credible maintains an “excellent” Trustpilot score.
How Does the Federal Reserve Affect Mortgage Rates?
The Federal Reserve System – or “The Fed,” as it is commonly known – is the central bank of the United States. It is responsible for taking action to keep the economy secure, stable and flexible. As a result, the Fed controls the U.S. money supply and short-term interest rates, and sets the Fed Funds Rate, which is the rate banks charge when they borrow from each other on a day-to-day basis.
But the Fed doesn’t actually set mortgage rates. On the contrary, several things the Fed influences mortgage rates. For example, although mortgage rates do not reflect the federal funds rate, they tend to follow it. If this rate increases, mortgage rates generally rise in tandem.
The Fed also buys and sells mortgage-backed securities, or MBS – a set of similar loans that a large mortgage investor buys and then resells to investors in the bond market. When the Fed buys a lot of mortgage-backed securities, it creates demand in the market and lenders can make money even if they offer lower mortgage rates. So rates tend to fall when the Fed buys a lot.
When the Fed buys less MBS, demand drops and rates are likely to rise. Likewise, when the Fed raises the federal funds rate, mortgage rates will also rise.
Looking to lower your home insurance rate?
A home insurance policy can help you cover unforeseen costs you might incur during homeownership, such as structural damage and destruction or theft of personal property. Coverage can vary widely from insurer to insurer, so it’s wise to shop around and compare policy quotes.
Credible is a partner of a home insurance broker. If you are looking for a better rate on Home Insurance and consider switching providers, consider using an online broker. You can compare quotes from top rated insurance companies in your area – it’s quick, easy, and the whole process can be done entirely online.
Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at [email protected] and your question could be answered by Credible in our Money Expert column.
As a credible authority on mortgages and personal finance, Chris Jennings has covered topics such as mortgages, mortgage refinancing, and more. He was an editor and editorial assistant in the online personal finance field for four years. His work has been featured by MSN, AOL, Yahoo Finance, and more.
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