Current Fixed Mortgage Rates Make Another All-Time Low Today

Already low current mortgage rates are making new all-time lows week after week. Today Freddie Mac reported both 30 year and 15 year fixed mortgage interest rates made another all-time low. We expected rates to fall again this week since a series of weak economic data was released sending bond yields lower which in turn sent mortgage rates lower.

Current mortgage rates on 30 year conforming loans are averaging 3.83% with 0.7 points, down from the previous week's average of 3.84%. Record low rates have spurred a refinance boom over the last couple of years. In fact the majority of mortgage applications last week, 72.1% to be exact, are for homeowners refinancing a current loan according to the most recent Mortgage Application Survey release by the Mortgage Bankers Association.

15 year conforming mortgage interest rates are averaging 3.05% with 0.7 points, another record low, down from the previous record low of 3.07% last week.

Freddie Mac's rates in the Primary Mortgage Market Survey are average rates; you can find lenders offering rates even lower than the averages. Right now on our rate tables there are many lenders offering 15 year interest rates below 3.00%.

If you're looking into refinancing you should really consider a 15 year loan over a 30 year loan. The monthly payments will be higher but you'll save ton of money in interest payments.

Rates on adjustable mortgages were mixed in this week's survey. 5 year adjustable mortgage rates are down to 2.81% with 0.5 points, down from last week's average rate of 2.85%. 1 year adjustable mortgage rates are higher averaging 2.73% with 0.5 points, up from last week's average rate of 2.70%.

I personally wouldn't chose an adjustable rate mortgage over a fixed rate mortgage since fixed rate mortgages are so low. You might argue an adjustable rate loan is better for someone who is planning to stay in their home for only a few years.  Current 5 year adjustable rates are about 1.00% lower than 30 year rates.

I would argue if you're only planning on staying in a home for a few years don't buy rent. While rates are low housing prices are still falling overall.

There are some areas that are once again seeing home prices increase but the increases will be small, probably not enough to outweigh the expenses of buying and selling. Between closing costs and the 5% to 6% broker fee you pay when selling any price gain will be wiped out.