Mortgage Rates Drift Lower This Week: 30 Year Rates at 6.13%

Mortgage rates have continued to shift downward, according to the latest results from Freddie Mac's Primary Mortgage Market Survey. As of February 2, 2023, the 30-year fixed-rate mortgage averaged 6.09 percent, down from last week when 30-year mortgage rates average of 6.13 percent. This is a significant drop from November 2022, when the 30-year FRM peaked at just over seven percent.

According to Sam Khater, Freddie Mac's Chief Economist, the one percentage point reduction in rates can allow up to three million more mortgage-ready consumers to qualify for a $400,000 loan, which is the median home price. This is excellent news for potential homebuyers who have been on the fence about purchasing a home.

The 15-year fixed-rate mortgage has also seen a decrease, averaging 5.14 percent as of February 2, 2023, compared to last week's average 15-year mortgage rate of 5.17 percent. This is a significant difference from a year ago, when the 15-year FRM averaged 2.77 percent.

Loan Type

Purchase Refinance with Cash out Refinance

State

Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware District Of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming

FICO Score

Superior (780-850) Exceptional (760-779) Excellent (740-759) Very Good (720-739) Good (700-719) Above Average (680-699) Average (660-679) Fair (640-659) Need Improvement (620-639) Poor (350-620)

Loan Amount

$

Points

Up to 0 points Up to 0.5 points Up to 1 points Up to 1.5 points Up to 2 points Up to 2.5 points Up to 3 points

LTV

%

Loan Term

 15-Year Fixed  20-Year Fixed  30-Year Fixed  5-Year ARM  7-Year ARM  10-Year ARM

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The lenders whose rates and other terms appear on this chart are MRC's advertising partners. They provide their rate information to our data partner RateUpdate.com. Unless adjusted by the consumer, advertisers are sorted by APR from lowest to highest. For any advertising partners that do not provide their rate they are listed in advertisement display units at the bottom of the chart. Advertising partners may not pay to improve the frequency priority or prominence of their display. The interest rates, annual percentage rates and other terms advertised here are estimates provided by those advertising partners based on the information you entered above and do not bind. Any lender Monthly payment amounts stated do not include amounts for taxes and insurance premiums. The actual payment obligation will be greater if taxes and insurance are included. Although our data partner RateUpdate.com collects the information from the financial institutions themselves, the accuracy of the data cannot be guaranteed. Rates may change without notice and can change intraday. Some of the information contained in the rate tables including but not limited to special marketing notes is provided directly by the lenders. Please verify the rates and offers before applying for a loan with the financial institution themselves. No rate is binding until locked by a lender.

Lender

APR / Rate

Fees / Points

Payment

NMLS #135622

4.775%

15-Year Fixed

4.625%

$4,090

Includes 0.750 points for $3,000

Lender Fees: $1,090

$3,086 /mo

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NMLS #1025894

4.874%

15-Year Fixed

4.750%

$3,308

Includes 0.827 points for $3,308

Lender Fees: $0

$3,112 /mo

Next >

NMLS #6606

5.260%

15-Year Fixed

5.125%

$3,548

Includes 0.887 points for $3,548

Lender Fees: $0

$3,190 /mo

Next >

NMLS #135622

5.590%

30-Year Fixed

5.500%

$4,090

Includes 0.750 points for $3,000

Lender Fees: $1,090

$2,272 /mo

Next >

NMLS #1025894

5.682%

30-Year Fixed

5.625%

$2,508

Includes 0.627 points for $2,508

Lender Fees: $0

$2,303 /mo

Next >

NMLS #6606

5.958%

30-Year Fixed

5.875%

$3,592

Includes 0.898 points for $3,592

Lender Fees: $0

$2,367 /mo

Next >

Rate data provided by RateUpdate.com. Displayed by Mortgage Research Center, NMLS #1907, Equal Housing Opportunity. Payments do not include taxes and insurance premiums. Actual payments will be greater with taxes and insurance included. Rate and product details.

For those looking to take advantage of the current market, it's crucial to understand the different types of mortgage loans available and the terms that come with each. A 30-year fixed-rate mortgage, for example, offers a fixed interest rate for the entire loan term, while a 15-year FRM offers a shorter loan term with a slightly lower interest rate.

It's also important to consider factors such as credit score, debt-to-income ratio, and income when applying for a mortgage. These factors can greatly impact the interest rate offered by a lender and the overall cost of the loan.

The continued downward shift in mortgage rates presents a fantastic opportunity for potential homebuyers to take advantage of the current market and secure a low-interest mortgage. With rates at historic lows, now is an ideal time to make a move towards homeownership. It's recommended that potential homebuyers work with a mortgage broker to assess their financial situation, determine the best mortgage option for their unique circumstances.