Mortgage

Mortgage and refinancing charges at the moment, 12/29/2021

Today's mortgage and refinancing rates

Average mortgage rates finally fell yesterday. It wasn't a big fall. But every little bit helps.

Unfortunately so far this morning it looks like it is Mortgage rates could go up today. But that could change during the day.

Find your lowest plan. Start here (12/30/2021)

Current mortgage and refinancing rates

program
Mortgage rates
Effective interest rate*
change

Conventional 30 years
3,338%
3.36%
-0.02%

Conventionally fixed for 15 years
2,489%
2,523%
-0.04%

Conventional 20 years old
3,082%
3.115%
-0.05%

Conventionally fixed for 10 years
2,611%
2,683%
-0.04%

30 years permanent FHA
3,205%
3,917%
-0.03%

Fixed FTA for 15 years
2,592%
3,239%
-0.01%

5/1 ARM FHA
2,443%
3,217%
-0.01%

30 years of permanent VA
3.02%
3.211%
-0.01%

15 years fixed VA
2,908%
3,256%
+ 0.01%

5/1 ARM-VA
2.5%
2,533%
Unchanged

Prices are provided by our partner network and may not reflect the market. Your price can be different. Click here for an individual price offer. View our rate assumptions here.

Should You Lock A Mortgage Rate Today?

It is still impossible to estimate the likely economic impact of the new Omicron variant of COVID-19 (more on this below).

But mortgage rates depend on how harmful they are. You will likely fall when the going gets serious. But they can continue to drift up if they don't. You are just as qualified as I am to decide which of these is more likely and to lock or change your interest rate accordingly.

My personal rate lock recommendations remain for the time being:

HOVER when close in 7th DaysHOVER when close in fifteen DaysHOVER when close in 30th DaysHOVER when close in 45 DaysHOVER when close in 60 Days

> Related: 7 tips for the best refinancing rate

Market Data Affecting Mortgage Rates Today

Here is a snapshot of the current status this morning at around 9:50 a.m. ET. The dates, compared to roughly the same time yesterday, were:

the 10 year Treasury note yield increased from 1.46% to 1.52%. (Bad for mortgage rates.) More than any other market, mortgage rates usually follow these particular government bond yieldsImportant stock indices were mostly higher shortly after opening. (Bad for mortgage rates.Often times, when investors buy stocks, they sell bonds, which depresses the prices of those stocks and increases yields and mortgage rates. The opposite can happen when the indices are lower. But that's an imperfect relationshipOil prices down from $ 76.07 a barrel to $ 75.70. (Neutral for mortgage rates *.) Energy prices play a major role in the development of inflation and also indicate future economic activity Gold prices decreased from $ 1,816 to $ 1,794. (Bad for mortgage rates*.) In general, prices are better when gold is rising and worse when gold is falling. Gold tends to rise when investors worry about the economy. And concerned investors tend to cut ratesCNN Business Fear & Greed Index – climbed from 57 from 100 to 61. (Bad for mortgage rates.) “Greedy” investors push bond prices down (and interest rates up) when they exit the bond market and invest in stocks, while “fearful” investors do the opposite. So lower values ​​are better than higher

* A change of less than $ 20 in gold prices or 40 cents in oil prices is a fraction of 1%. Therefore, when it comes to mortgage rates, we only count meaningful differences as good or bad.

Reservations about markets and prices

Before the pandemic and the Federal Reserve's interventions in the mortgage market, you could look at the numbers above and make a pretty good guess as to what would happen to mortgage rates that day. But that is no longer the case. We still use the phone every day. And they are mostly right. But our record for accuracy won't hit its old highs until things settle down.

Use markets only as a rough guide. Because they have to be extraordinarily strong or weak to be able to rely on them. But with this caveat, Mortgage rates could go higher today. Note, however, that "intraday swings" (when prices change direction during the day) are a common feature these days.

Find your lowest plan. Start here (12/30/2021)

Important information about current mortgage rates

Here are some things you need to know:

Usually mortgage rates go up when the economy is doing well and go down when the economy is in trouble. But there are exceptions. Read How Mortgage Rates Are Determined And Why You Should Care Only top borrowers (with great credit scores, big down payments, and very healthy finances) get the extremely low mortgage rates you see advertised lenders vary. Yours may or may not follow the crowd when it comes to daily price movements – though they all follow the broader trend over time when daily price changes are small, some lenders adjust closing costs and keep their price lists the same for purchases.

There is a lot going on at the moment. And no one can claim to know for sure what will happen to mortgage rates in the coming hours, days, weeks, or months.

Are mortgage and refinancing rates rising or falling?

Unfortunately, we do not yet know how the new Omicron variant will develop. It's easy to find experts who are fairly optimistic about the likely effects. But if you turn the page, there is another expert who predicts doom and darkness.

Despite appearances, investors are people. And they take care of the human cost of the pandemic. However, when they act, their only concern is the economic impact.

And when it comes to Omicron, lately they have been shrugging off potential risks and taking a sunny look into the future.

If the optimistic experts are correct, the new variant will not significantly affect the economic recovery. And mortgage rates are likely to continue their slow upward trend.

But if the pessimistic experts are right, this economic recovery could be reversed. And then those rates will likely fall.

Unfortunately, this makes it difficult to decide whether to unlock or lock your mortgage rate. And no one can give you completely reliable advice on when to close.

Recently

The general trend in mortgage rates was clearly declining for much of 2020. And according to Freddie Mac, it hit 16 new weekly all-time lows last year.

The latest weekly record low was recorded on January 7, when 30-year fixed-rate mortgages stood at 2.65%.

Since then, the picture has been mixed with longer phases of ascent and descent. Unfortunately, the increases have become more pronounced since September, if not constant.

Freddies 23rd of December Report gives this weekly average for 30-year fixed-rate mortgages at 3.05% (with 0.7 fees and points), Low compared to 3.12% the previous week. But that won't account for all of this week's hikes.

Expert predictions for mortgage rates

Looking ahead, Fannie Mae, Freddie Mac, and the Mortgage Bankers Association (MBA) each have a team of economists devoted to monitoring and forecasting developments in the economy, real estate and mortgage rates.

And here are their current interest rate forecasts for the remaining current quarter of 2021 (Q4 / 21) and the first three quarters of 2022 (Q1 / 22, Q2 / 22 and Q3 / 22).

The numbers in the table below apply to 30-year fixed-rate mortgages. Fannies were released on December 20th and the MBAs on December 21st.

Freddie’s was released on October 15th. It now only updates its forecasts every quarter. So maybe we won't get another of these until January. And his numbers are already looking stale.

ForecastersQ4 / 21Q1 / 22Q2 / 22Q3 / 22Fannie Mae 3.1% 3.1% 3.2% 3.3% Freddie Mac 3.2% 3.4% 3.5% 3.6% MBA 3.1% 3.3% 3.5% 3.7%

However, with so many imponderables, all of the current predictions can be even more speculative than usual.

Find your lowest price today

You should compare everywhere, no matter what type of mortgage you want. As a federal regulator, the Consumer Financial Protection Bureau says:

Real savings can be achieved when looking for your mortgage. It may not sound like a lot, but it does If you save even a quarter interest on your mortgage, you will save thousands of dollars over the life of your loan.

Show me today's prices (December 30, 2021)

Mortgage rate methodology

The mortgage reports receive interest rates based on selected criteria from multiple credit partners on a daily basis. We'll find an average interest rate and an APR for each type of loan shown on our chart. By averaging a number of prices, this will give you a better idea of ​​what you might find in the market. In addition, we determine average interest rates for the same types of credit. Example: FHA fixed with FHA fixed. The end result is a good snapshot of the daily rates and how they change over time.

The information contained on The Mortgage Reports website is for informational purposes only and is not intended to be an advertisement for the products offered by Full Beaker. The views and opinions expressed here are those of the author and do not reflect the policies or position of Full Beaker, its officers, parents or affiliates.

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