The Latest Mortgage Rate Trends and Insights
The mortgage market saw fluctuations in rates on Tuesday, with the 30-year purchase mortgage rate rising to 7.19%, a slight increase of 6 basis points compared to the previous day. Despite this uptick, the current flagship rate remains below its recent peak of 7.45% observed on March 15. Various purchase and refinance mortgage rates experienced diverse movements during this period.
National Averages of Lenders’ Best Mortgage Rates
| Loan Type | New Purchase | Refinance |
|---|---|---|
| 30-Year Fixed | 7.19% | 7.46% |
| FHA 30-Year Fixed | 7.13% | 7.50% |
| Jumbo 30-Year Fixed | 6.95% | 6.95% |
| 15-Year Fixed | 6.52% | 6.76% |
| 5/6 ARM | 7.75% | 7.84% |
It is essential for potential borrowers to compare mortgage options across different lenders regularly to secure the best rates, regardless of the type of loan they are seeking.
Today’s Mortgage Rate Averages: New Purchase
On Tuesday, new purchase mortgage rates for the 30-year term saw a modest 6 basis points increase. Despite recent upticks, the overall rate has decreased by 26 basis points since March 15.
The current 30-year rate average remains above the levels recorded at the beginning of February but is notably lower than the peak of 8.45% seen in October. Other mortgage durations also experienced slight adjustments in rates.
The Weekly Freddie Mac Average
Freddie Mac’s weekly average released last week showed a 30-year mortgage rate of 6.87%, marking a small increase from the previous week. Notably, rates have significantly dropped since reaching a peak of 7.79% back in October.
Freddie Mac’s average rate calculation differs slightly from other sources, providing a weekly average based on rates over five preceding days. Our daily averages offer a more precise and current reflection of rate movements.
Today’s Mortgage Rate Averages: Refinancing
Refinancing rates remained relatively stable on Tuesday, with minor adjustments across various loan types. Notable changes were observed in jumbo 30-year and 7/6 ARM rates, while others saw marginal fluctuations.
Utilize our Mortgage Calculator to estimate monthly payments for different loan scenarios.
Mortgage Rates by State
Mortgage rates can vary significantly by state due to regional credit score variations, loan types, and lender risk management strategies. States like Mississippi, Rhode Island, Louisiana, and Vermont saw the lowest purchase rates, while Minnesota, Arizona, and Nevada had higher averages.
What Causes Mortgage Rates to Rise or Fall?
Mortgage rates are influenced by a multitude of factors, including bond market conditions, Federal Reserve policies, and lender competition. These elements contribute to the dynamic nature of mortgage rate fluctuations.
The Federal Reserve’s actions, such as bond purchases and interest rate adjustments, play a significant role in shaping mortgage rate trends. Recent years have seen substantial impacts on rates due to Fed policy changes.
How We Track Mortgage Rates
Our national rate averages are derived from a comprehensive analysis of rates offered by top lenders, providing an indication of typical rates for qualified borrowers. Individual rates may vary based on specific borrower characteristics beyond advertised rates.
For state-level comparisons, we list the lowest rates available in each state based on set parameters, facilitating a better understanding of regional rate disparities.
Correction – March 28, 2024: The next Federal Open Market Committee meeting is scheduled for April 30 to May 1, 2024.
