Savings window opens: Today’s mortgage rates plummet across all terms | Nov. 11, 2022

• 30-year fixed-rate refinance: 6.250%, down from 6.750%, -0.500
• 20-year fixed-rate refinance: 6.250%, down from 6.490%, -0.240
• 15-year fixed-rate refinance: 6.000%, down from 6.490%, -0.490
• 10-year fixed-rate refinance: 6.250%, down from 6.500%, -0.250

Rates last updated on Nov. 11, 2022. These rates are based on the assumptions shown here. Actual rates may vary. With 5,000 reviews, Credible maintains an "excellent" Trustpilot score.

What this means: Mortgage refinance rates fell across all terms today, with 20- and 30-year rates falling to 6.25%. Additionally, rates for 30-year terms, which tend to be the most popular, are at their lowest levels in 39 days. Homeowners looking to refinance to a longer term may want to lock in a rate now, ahead of likely increases.

Today’s mortgage rates for home purchases

• 30-year fixed mortgage rates: 6.250%, down from 6.750%, -0.500
• 20-year fixed mortgage rates: 6.250%, down from 6.490%, -0.240
• 15-year fixed mortgage rates: 6.000%, down from 6.490%, -0.490
• 10-year fixed mortgage rates: 6.250%, down from 6.500%, -0.250

Rates last updated on Nov. 11, 2022. These rates are based on the assumptions shown here. Actual rates may vary. Credible, a personal finance marketplace, has 5,000+ Trustpilot reviews with an average star rating of 4.7 (out of a possible 5.0).

What this means: Rates for a 30-year mortgage plunged half a point today, bringing this popular repayment term to its lowest levels since September 19. Meanwhile, 10- and 15-year rates also fell significantly. With rates for all mortgage repayment terms well under 7%, borrowers who want a longer term may want to consider locking in a rate today, ahead of likely increases.

How mortgage rates have changed over time

Today’s mortgage interest rates are well below the highest annual average rate recorded by Freddie Mac – 16.63% in 1981. A year before the COVID-19 pandemic upended economies across the world, the average interest rate for a 30-year fixed-rate mortgage for 2019 was 3.94%. The average rate for 2021 was 2.96%, the lowest annual average in 30 years.

The historic drop in interest rates means homeowners who have mortgages from 2019 and older could potentially realize significant interest savings by refinancing with one of today’s lower interest rates. When considering a mortgage refinance or purchase, it’s important to take into account closing costs such as appraisal, application, origination and attorney’s fees. These factors, in addition to the interest rate and loan amount, all contribute to the cost of a mortgage.

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How Credible mortgage rates are calculated

The rates assume a borrower has a 740 credit score and is borrowing a conventional loan for a single-family home that will be their primary residence. The rates also assume no (or very low) discount points and a down payment of 20%.

How do I get a mortgage?

When you’re ready to buy a home, you should lock down your mortgage options before you begin house hunting. Having your financing lined up can make the process go smoother, and give you a leg up on other buyers who’ve not yet been prequalified or pre-approved for a mortgage.

Here are the general steps to getting a mortgage:

• Get a handle on your finances and credit. Add up your total monthly expenses and subtract them from your total monthly income to see how much you may be able to spend on a monthly mortgage payment. Check your credit score and report to correct any errors on your report and take action if you need to improve your credit score.
• Get pre-approved for a mortgage. Although pre-approval doesn’t guarantee the lender will give you a mortgage, it’s a strong indication you’ll be able to qualify for one when the time comes. Having a pre-approval letter can make your offer more attractive to potential sellers.
• Comparison shop. Once you’ve had an offer accepted on the house of your dreams, it’s time to compare rates from multiple mortgage lenders. Be sure to compare all the costs of a mortgage, not just the interest rate.
• Complete the full application. You’ll need to provide detailed information about your income, savings, monthly expenses, and overall financial situation.

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As a Credible authority on mortgages and personal finance, Chris Jennings has covered topics that include mortgage loans, mortgage refinancing, and more. He’s been an editor and editorial assistant in the online personal finance space for four years. His work has been featured by MSN, AOL, Yahoo Finance, and more.