Today’s Mortgage and Refinance Rates, May 13, 2022 | Rates Climbed

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A number of important mortgage rates all crept upward today. Both 30-year fixed and 15-year fixed mortgage rates moved up. For variable rates, the 5/1 adjustable-rate mortgage (ARM) also rose.

The latest inflation data for April shows a slight drop in the annual inflation rate to 8.3%, but that doesn’t necessarily mean we have hit the peak. However, there are a number of geopolitical events that pose an ongoing threat to global supply chains, which could push inflation up.

Mortgage rates are likely to climb as long as inflation remains high. A major reason for this is that the Federal Reserve raises short-term interest rates to fight inflation. That in turn puts upward pressure on mortgage rates.

Rising rates will exacerbate affordability problems for homebuyers still facing a shortage of inventory. However, with the right amount of patience and a good idea of how much house you can afford, now can still be the right time for you to become a homeowner.

Here are the current rates and how they are moving, as well as what you need to know about today’s market.

The average mortgage rates are as follows:

Mortgage Rate Trends: What’s Behind the Recent Rate Movement?

The pandemic initially drove rates down when it caused economic activity to drop. As the pandemic progressed, supply chain shortages developed, which resulted in rising inflation and interest rates..

Right now we could be in the reverse situation, where the factors adding to inflation could slow economic activity. A sagging economy typically goes hand in hand with lower mortgage rates.

What will actually happen with mortgage rates is anyones guess, but at the moment most experts believe rates won’t drop. The impact of the Russian invasion of Ukraine and the Chinese COVID lockdown on supply chains will likely lead to higher inflation.

As long as inflation persists, there is little chance of returning to the glory days of low mortgage rates. “Until inflation is under control, the risk is certainly that rates move higher,” Danielle Hale, chief economist at told NextAdvisor.

Current Mortgage Rates: Are They Good For Buying a Home Right Now?

Homebuyers face rising prices and rising interest rates, a combination that reduces purchasing power rapidly.

This doesn’t mean that the current real estate market conditions have to delay your homebuying plans. Do not make a hasty decision just because you fear rising rates or prices. Instead, if it’s the right time for you to purchase, then take the time to find the right home for you at a price you can afford.

Homebuying is a better move when you have a long-term timeframe for living in the home. By doing this, you can cope with the inevitable ups and downs of the housing market. When purchasing a home, stick to your budget and only purchase what you can comfortably afford. Generally, experts recommend not spending more than 28% of your pretax income on housing.

Why Is It Important to Look at the History of the 30-Year Fixed Mortgage Rate?

Compared to 2020 and 2021, today’s rates are higher, but looking at prior years they aren’t outside of normal ranges. What this means is current mortgage interest rates are still very good from a long-term view despite breaking through the psychological barrier of 5%.

While NextAdvisor typically uses Bankrate data on mortgage rates, this chart pulls data from the government-sponsored entity, Freddie Mac. The Freddie Mac data stretches back decades, giving us a better view of the historical rate trends.

Pay Attention to Loan Fees

When you take out a home loan, you’ll want to be aware of the closing costs. Closing costs can be anywhere between 3-6% of the loan amount, and include fees such as loan origination charges, prepaid interest and property taxes. Choosing a higher interest rate in exchange for lender credit can reduce your upfront costs. The strategy can save you money in the short-term, so it’s worth considering if you plan to sell or refinance your home within five to eight years.

Current Mortgage Refinance Rates

Refinancing became a bit more expensive today as 30-year fixed and 15-year fixed refinance mortgages saw their mean rates trend upward. Shorter term, 10-year fixed-rate refinance mortgages also increased.

The refinance averages for 30-year, 15-year, and 10-year loans are:

Find current mortgage rates for today.

30-Year Fixed Mortgage Interest Rates

The average 30-year fixed mortgage interest rate is 5.57%, which is a growth of 15 basis points from the previous week.

15-Year Mortgage Interest Rates

The median rate for a 15-year fixed mortgage is 4.81%, which is an increase of 9 basis points from seven days ago.

A 15-year, fixed-rate mortgage’s monthly payment is, undeniably, a much bigger monthly payment than what you’d get with a 30-year mortgage offering the same interest rate. But, 15-year loans have some considerable benefits: You’ll pay thousands less in interest and pay off your loan much sooner.

5/1 ARM Interest Rates

A 5/1 ARM has an average rate of 3.85%, which is an addition of 8 basis points compared to a week ago.

An adjustable-rate mortgage is ideal for borrowers who will sell or refinance before the rate changes. If that’s not the case, their interest rates could end up being significantly higher after a rate adjusts.

For the first five years, a 5/1 ARM will typically have a lower interest rate compared to a 30-year fixed mortgage. Keep in mind that your payment could end up being hundreds of dollars higher after a rate adjustment, depending on the terms of your loan.

How Our Mortgage Interest Rates Are Calculated

NextAdvisor’s mortgage rate averages are pulled from Bankrate’s daily rate data.. These overnight rates are based on a specific personal profile, which only includes loans for primary residences where the borrower has a FICO score of 740+. Bankrate is part of the same parent company as NextAdvisor.

The average rates listed below and based on the Bankrate mortgage rate survey:

Current average mortgage interest rates
Loan typeInterest rateA week agoChange
30-year fixed rate5.57%5.42%+0.15
15-year fixed rate4.81%4.72%+0.09
30-year jumbo mortgage rate5.55%5.38%+0.17
30-year mortgage refinance rate5.53%5.40%+0.13

Updated on May 13, 2022.

Pro Tip

Use our mortgage calculator to see how your monthly payment changes based on elements like your interest rate, homeowners insurance, and property taxes.

Mortgage Rate Frequently Asked Questions (FAQ):

How Do I Qualify for the Lowest Mortgage Rate?

Your credit score, and loan-to-value ratio (LTV), and are the most important factors in determining your interest rate.

These days, a credit score of 750 or above will help you secure the lowest rate. But, even a score of over 700 can get you a decent rate reduction compared to a lower credit score. Once your score starts climbing above 800, the mortgage rate discount won’t be meaningful.

Banks give the most substantial mortgage rate discounts to home buyers that are deemed less risky. A hefty down payment is a signal to lenders that you are more committed and are less likely to default on your loan. A down payment of 20% or more will save you money in two ways: with a more favorable mortgage rate, and you’ll be able to avoid paying for private mortgage insurance (PMI).

When Should I Lock in My Mortgage Rate?

It’s impossible to know what direction mortgage rates will go from day to day. That’s why a mortgage rate lock is such a useful tool because it protects you if rates go up. And with interest rates being relatively low right now, you should lock in your rate as soon as you can.

When you lock in your rate, ask your lender how long the lock will last. A rate lock can be good for anywhere from 30 to 60 days, which typically will give you enough time to close before the lock expires. If you want to extend the rate lock, ask about fees as many lenders charge a fee for extending a rate lock.