The rate on a 30-year fixed refinance rose to 6.84% today, according to the Mortgage Research Center. For 15-year fixed refinance mortgages, the average rate is 5.77%, and for 20-year mortgages, the average is 6.63%.

Related: Compare Current Refinance Rates

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30-Year Fixed Refinance Interest Rates

The current 30-year, fixed-rate mortgage refinance average rate stands at 6.84%, versus 6.73% last week.

The annual percentage rate (APR) on a 30-year, fixed-rate mortgage is 6.87%, higher than last week’s 6.76%. The APR is the all-in cost of a home loan—the interest rate including any fees or extra costs.

At the current interest rate, borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $655 per month for principal and interest, according to the Forbes Advisor mortgage calculator. That doesn’t include taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $135,677.

20-Year Refi Rates

The average interest rate on the 20-year fixed refinance mortgage is 6.63%. Last week, the 20-year fixed-rate mortgage was at 6.47%.

The APR on a 20-year fixed is 6.68%, compared to 6.52% last week.

A 20-year fixed-rate mortgage refinance of $100,000 with today’s interest rate would cost $753 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay around $80,822 in total interest.

15-Year Fixed Refinance Rates

The average interest rate on the 15-year fixed refinance mortgage is 5.77%. Last week, the 15-year fixed-rate mortgage was at 5.69%.

On a 15-year fixed refinance, the annual percentage rate is 5.83%. Last week, it was 5.74%.

A 15-year fixed-rate mortgage refinance of $100,000 at today’s interest rate would cost $832 per month in principal and interest. Over the life of the loan, you would pay $49,696 in total interest.

30-Year Jumbo Refinance Interest Rates

The average interest rate for a 30-year, fixed-rate jumbo mortgage refinance (a loan above the federal conforming loan limit of $806,500 in most places) inched up week-over-week to 7.25%, versus 7.14% last week.

At today’s interest rate on a 30-year, fixed-rate jumbo mortgage refinance, a borrower would pay $682 per month in principal and interest on a $100,000 loan.

15-Year Jumbo Refinance Rates

A 15-year, fixed-rate jumbo mortgage refinance has an average interest rate of 6.22%, up 0.08 point from last week.

At today’s rate, a borrower would pay $856 per month in principal and interest per $100,000 borrowed for a 15-year, fixed-rate jumbo refi. Over the life of the loan, that borrower would pay around $54,022 in total interest.

Are Refinance Rates and Mortgage Rates the Same?

No, mortgage refinance rates are typically higher than purchase loan rates due to additional risk for the lender. Cash-out refinance rates are also higher than a standard rate-and-term refinance as you are increasing your loan balance by tapping your equity.

The application process for refinancing a mortgage is similar to getting a home purchase loan regarding the required paperwork and home appraisal. Additionally, similar closing costs from 2% to 6% of the loan amount apply, which is an extra expense.

When you refinance, your new rate is based on current refinance rates and your loan term. This rate replaces your existing mortgage repayment terms.

Know When To Refinance Your Home

There are lots of good reasons to  refinance your mortgage, but for most homeowners, it comes down to lowering the interest rate, reducing monthly payments or paying off the loan more quickly. Refinancing can also allow you to tap some of your home’s equity or eliminate private mortgage insurance (PMI).

It’s important to keep in mind that refinancing carries costs, and for that reason makes more sense if you plan to stay in your home for some time. It can be helpful to calculate the “break-even point” for a potential refinance – to see how long it will take for savings from the new mortgage to outweigh closing costs. Try to find out what those fees will be and divide them by the monthly savings from the new mortgage.

Check out our mortgage refinance calculator to help you decide if this is a good time to refinance.

Is Now a Good Time To Refinance?

Now may be a good time to refinance if you can reduce your monthly payment by getting a better interest rate or adjusting your repayment period.

While refinance rates are at multi-year highs, you may qualify for a competitive rate if your credit has improved since getting your existing mortgage or by switching to a shorter loan term, such as a 15-year mortgage. Refinancing from a government-backed loan to a conventional loan with at least 20% equity helps you waive private mortgage insurance, FHA mortgage insurance premiums or the USDA guarantee fees.

There are multiple mortgage refinance options to consider and some that let you tap your home equity.

Consider avoiding refinancing if you can’t get a better rate or reduce your monthly payment. Additionally, you will need to pay closing costs and the application process can be lengthy. These hindrances may exceed the potential benefits of refinancing.

How To Get Today’s Best Refinance Rates

Much like when you shopped for a mortgage when purchasing your home, when you refinance here’s how you can find the lowest refinance rate:

• Maintain a good credit score
• Consider a shorter-term loan
• Lower your debt-to-income ratio
• Monitor mortgage rates

A solid credit score isn’t a guarantee that you’ll get your refinance approved or score the lowest rate, but it could make your path easier. Lenders are also more likely to approve you if you don’t have excessive monthly debt. You also should keep an eye on mortgage rates for various loan terms. They fluctuate frequently, and loans that need to be paid off sooner tend to charge lower interest rates.

Frequently Asked Questions (FAQs)