August 4, 2022 – Mortgage Rates Rise – Forbes Advisor

August 4, 2022 – Mortgage Rates Rise – Forbes Advisor

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Today, the average rate for a 30-year fixed mortgage is 5.54%, according to Bankrate.com, while the average rate for a 15-year mortgage is 4.80%. On a 30-year jumbo mortgage, the average rate is 5.54%, and the average rate on a 5/1 ARM is 4.16%.

Connected: Compare current mortgage rates

30 year fixed rate mortgage rates

The average rate for a 30-year fixed mortgage rose to 5.54% from 5.48% a day earlier. Today’s rate is lower than the 52-week high of 6.11%.

On a 30-year fixed mortgage, the APR is 5.55%, down from last week. The APR, or annual percentage rate, includes the interest rate on the loan and the finance costs of the loan. This is the entire cost of your loan.

At an interest rate of 5.54%, a 30-year fixed mortgage would cost $563 a month in principal and interest (not including taxes and fees) on $100,000, according to Forbes Advisor’s mortgage calculator. The total interest paid over the life of the loan will be about $46,407.

15-year fixed mortgage rates

Today, the 15-year fixed mortgage rate is 4.80%, higher than it was a day ago. Last week it was 4.89%. Today’s rate is higher than the 52-week low of 4.60%.

The APR for a 15-year fixed is 4.82%. At this time last week it was 4.91%.

With an interest rate of 4.80%, you’ll pay $520 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you’ll pay $39,824 in total interest.

Jumbo mortgage rates

On a 30-year jumbo, the average rate is 5.54%, lower than it was this time last week. The average rate was 5.56% at this time last week. The 30-year fixed jumbo mortgage rate is currently higher than the 52-week low of 6.11%.

Borrowers with a 30-year large fixed-rate mortgage at today’s rate of 5.54% would pay $562 per month in principal and interest on $100,000. This means that on a $750,000 loan, the monthly principal and interest payment would be about $562 , and you’ll pay approximately $46,122 in total interest over the life of the loan.

5/1 ARM rates

On the 5/1 ARM, the average rate remained at 4.16%. The average rate was 4.23% last week. Today’s rate is currently lower than the 52-week high of 4.32%.

Borrowers with a $100,000 5/1 ARM at today’s rate of 4.16% would pay $487 per month in principal and interest.

How to calculate mortgage payments

If you can’t or don’t want to pay cash, mortgage lenders and mortgages will be part of your home buying process. It’s important to find out what you’re likely to pay each month to see if it fits into your budget.

You can use a mortgage calculator to calculate your monthly mortgage payment based on factors including your interest rate, purchase price and down payment.

Gather these data to calculate your monthly mortgage payment:

  • The price of the home
  • Your down payment
  • The interest rate
  • The term of the loan
  • All taxes, insurance and any HOA fees

What you can afford depends on a number of factors, including your income, debt, debt-to-income ratio, down payment and credit score.

You also want to consider closing costs, property taxes, insurance costs, and ongoing maintenance costs.

The type of loan you choose can also affect how much house you can afford. When shopping for a loan, consider whether a conventional mortgage, FHA loan, VA loan, or USDA loan is best for your particular situation.

What is APR and why is it important?

The APR, or annual percentage rate, is the total cost of your loan. It includes the interest on your loan and finance charges, accounting for interest, fees and time.

APR can help you figure out the total cost of a mortgage if you keep it for the entire term. Keep in mind that the APR is often higher than the interest rate.

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