Mortgage and Refinancing Rates Today: September 15, 2022

Insider experts select the best products and services to help make smart decisions with your money (Here’s how). In some cases, we receive commission from our partnersHowever, our opinions are our opinions. Terms apply to the offers listed on this page.

Mortgage rates have been increasing rapidly this month as the Federal Reserve prepares for another 75 basis point hike in the federal funds rate next week.

Mortgage rates could continue to rise this year, but it’s unclear how much. Rates rose steadily through August and September, and the 30-year fixed rate is the highest since 2008.

But rates are unlikely to fall any time soon. Homebuyers with the ability to wait for lower rates may need to hold back until later next year. For those who need to buy sooner, it may be better to start the process now rather than wait to see if prices moderate in a few months.

Scott Highmore, Head of Mortgage Pricing and Secondary Markets at bank 💰. “Given the outlook for the federal funds futures contract, it looks like that will be in the second half of 2023.”

Today’s Mortgage Rates

Mortgage type Today’s average price
This information was provided by Zillow. see more
Mortgage rates on Zillow

Today’s Mortgage Refinance Rates

Mortgage type Today’s average price
This information was provided by Zillow. see more
Mortgage rates on Zillow

Mortgage Calculator

use Free Mortgage Calculator Find out how today’s mortgage rates will affect your monthly and long-term payments.

Mortgage Calculator

$1161
Estimated monthly payment

  • pay 25% It will give you a higher down payment USD 8,916.08 on interest charges
  • Reduce the interest rate by 1% will save you $51,562.03
  • Pay extra 500 dollars Each month would reduce the term of the loan by 146 months

By plugging in different time periods and different interest rates, you’ll see how your monthly payment can change.

Are Mortgage Rates Rising?

Mortgage rates started to rise from historical lows in the second half of 2021 and have increased significantly so far in 2022. More recently, rates have been relatively volatile.

In the last 12 months, The consumer price index rose 8.3%.. The Fed is working to control inflation, and plans to increase the federal funds target rate three more times this year, after increases in March, May, June and July.

Although not directly related to the federal funds rate, mortgage rates are sometimes raised as a result of higher Fed rates and investor expectations about how those hikes will affect the economy.

Inflation is still high, but it’s starting to slow, which is a good indicator of mortgage rates and the broader economy.

What do high rates mean for the housing market?

When mortgage rates rise, the purchasing power of home shoppers declines, as a greater portion of the projected housing budget must go to paying interest. If prices rise enough, buyers can exit the market altogether, reducing demand and putting downward pressure on home price growth.

However, this does not mean that housing prices will fall – in fact, they are It is expected to rise More this year, but at a slower pace than we’ve seen in the past two years.

Even with fewer buyers in the market, those who can buy will still compete for historically low stock. When the number of buyers is more than the number of homes available, home prices rise. So while conditions may ease a bit due to higher rates, we are not likely to see a significant drop in rates.

What is a good mortgage rate?

It can be difficult to know if a lender is offering you a good rate, which is why it is so important to get pre-approved with several mortgage lenders and to compare each offer. Apply for pre-approval with at least two or three lenders.

Your rate is not the only thing that matters. Be sure to compare each of your monthly costs as well as the initial costs, including any lender fees.

Although mortgage rates are heavily influenced by economic factors beyond your control, there are a few things you can do to help ensure that you get a good rate:

  • Consider fixed rates versus adjustable rates. You may be able to get a lower introductory rate with an adjustable mortgage, which can be good if you plan to move before the introductory period is over. But fixed price may be better if you Buy a forever home Because you won’t risk the price going up later. Look at the rates offered by your lender and weigh your options.
  • Look at your money. The stronger your financial position, the lower your mortgage rate. Find ways to boost your Balance level or lower your Debt to Income Ratio, if necessary. saving up push down Also helps.
  • Choose the right lender. Each lender charges different mortgage rates. choose the right Your financial situation will help you get a good price.

Leave a Comment