The current average money market rate is 0.54%, while the highest rate is up to 5.00%.

Here are today’s money market account rates:

MMA rates today

DEPOSIT LEVEL	AVERAGE APY	HIGH RATE
$10,000 minimum balance	0.54%	5.00%

Source: Curinos. Average APY date accurate as of January 24, 2025.

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Average Money Market Rates

How Does a Money Market Account Work?

A money market account (MMA) is a type of interest-bearing deposit account offered by banks and credit unions that works like other savings accounts: You deposit money into the account and earn interest on your balance. You can withdraw funds whenever you need to, but you may be restricted to six transactions per statement period.

Money market accounts typically pay higher interest rates than other deposit accounts, including traditional savings accounts. And unlike typical savings accounts, they often offer debit cards, check-writing capabilities or both, providing convenient access to cash. Money market accounts often have higher deposit and balance requirements than many bank accounts.

MMAs at banks are insured by the Federal Deposit Insurance Corp. (FDIC), while MMAs at credit unions are insured by the National Credit Union Administration (NCUA). In both cases, depositors are covered for up to $250,000 per account type, protecting your money in the event of bank failure.

How To Open a Money Market Account

Before opening a money market account, look into at least a few options with different banks or credit unions. Compare minimum balance requirements, monthly fees, withdrawal limits and annual percentage yields (APYs) to choose the best fit. Also, check out the conditions to earn the highest interest rates.

You can typically apply for a money market account online or in person. You will need to provide personal information such as your name, employment status and income, address and Social Security number, and show a government-issued ID. Once you’re approved, you can make your initial deposit.

Money Market Account vs. Savings Account

Money market accounts act like a hybrid between savings accounts and a checking account.

Both MMAs and savings accounts:

• Let you deposit funds as you please
• Earn interest on your savings
• Are highly liquid
• Are safe deposit accounts
• May have withdrawal restrictions, balance requirements and monthly fees.

Similar to checking accounts and unlike most savings, money market accounts:

• Can come with debit cards, checks or both
• Tend to have higher fees
• Tend to have deposit and balance requirements

Frequently Asked Questions (FAQs)

A home equity loan is a fixed-rate, lump-sum loan that allows homeowners to borrow up to 85% of their home’s value and pay that amount back in monthly installments. A home equity line of credit is a variable-rate second mortgage that draws on your home’s value as a revolving line of credit.

Both options use your property as collateral for your payments, which means your lender can seize your property if you can’t repay what you borrow.

Related: Best Home Equity Loan Lenders

$100K HELOC Loan Rates

—Ideal for Medium-Sized Projects

LOAN TERM	APR
60.00% LTV	8.16%
80.00% LTV	8.35%
90.00% LTV	9.28%

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A $100K HELOC is suitable for more extensive renovation projects or other significant financial needs. Compare the rates and terms to find the best fit for your situation.

$250K HELOC Loan Rates

—Access More Funds for Major Investments

LOAN TERM	APR
60.00% LTV	8.15%
80.00% LTV	8.34%
90.00% LTV	9.32%

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For larger projects or investments, a $250K HELOC provides the necessary funds with various LTV options. Explore these rates to determine the right balance between borrowing capacity and risk.

$500K HELOC Loan Rates

—Maximize Your Borrowing Power

LOAN TERM	APR
60.00% LTV	8.19%
80.00% LTV	8.39%
90.00% LTV	9.43%

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If you have substantial equity in your home and need significant financing, a $500K HELOC offers a great deal of borrowing power. Evaluate these options to find the optimal rate and term for your goals.

*Data accurate as of January 24, 2025

Pros and Cons of a HELOC

PROS	CONS
Interest rates are generally lower than some other loan types such as personal loans	Variable interest rates fluctuate based on the federal benchmark rate, potentially increasing monthly payments
You only owe interest on your balance and not the full credit line amount	Lenders use your property as collateral, which means you can lose your home if you default on your loan
If your HELOC meets IRS guidelines, your interest may be tax-deductible, but you must use the funds to purchase, build or improve a home	You may be required to pay several fees, including appraisal, application and closing fees
You may be required to pay several fees, including appraisal, application and closing fees	If the property value drops, you can owe more on your HELOC than your home is worth

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5-Year Home Equity Loan Rates (60 Months)

LOAN TERM	APR
60.00% LTV, $50K	7.89%
80.00% LTV, $50K	8.16%
90.00% LTV, $50K	8.84%

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A 5-year term offers a shorter repayment period with typically higher monthly payments. These products are suitable for borrowers looking for a quicker payoff.

10-Year Home Equity Loan Rates (120 Months)

LOAN TERM	APR
60.00% LTV, $150K	8.06%
80.00% LTV, $150K	8.34%
90.00% LTV, $150K	8.97%

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With a 10-year term, borrowers can enjoy a balanced monthly payment while still building equity quickly. 10-year home equity loans are ideal for medium-sized projects or financial needs.

15-Year Home Equity Loan Rates (180 Months)

LOAN TERM	APR
60.00% LTV, $200K	8.24%
80.00% LTV, $200K	8.53%
90.00% LTV, $200K	9.13%

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A 15-year term provides lower monthly payments compared to shorter terms, offering more affordability while still progressing toward your financial goals.

20-Year Home Equity Loan Rates (240 Months)

LOAN TERM	APR
60.00% LTV, $250K	8.49%
80.00% LTV, $250K	8.85%
90.00% LTV, $250K	9.34%

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Offering longer repayment and lower monthly payments, 20-year home equity loans are suitable for larger investments and long-term financial planning.

30-Year Home Equity Loan Rates (360 Months)

LOAN TERM	APR
60.00% LTV, $500K	8.86%
80.00% LTV, $500K	9.47%
90.00% LTV, $500K	9.52%

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The 30-year term maximizes affordability with the lowest monthly payments. These options are best for substantial borrowing needs and long-term investments.

*Data accurate as of January 24, 2025

Pros and Cons of a Home Equity Loan

PROS	CONS
You’ll pay a fixed interest rate that remains consistent during your loan term	You put your property at risk of foreclosure since your home secures your loan against defaulted payments
Home equity loan funds are offered via one-time, lump-sum payments that are ideal for handling large expenses	Home equity loans have strict requirements that can make them difficult to qualify for
You can use home equity loan funds for several purposes, unlike other loan types such as business or auto loans	Home equity loans come with several costs and fees that can add up and offset the benefits of a lower interest rate
If your home equity loan meets IRS guidelines such as buying, building or improving a home, you can deduct your interest payments from your taxes	You could end up with an “underwater” loan, which occurs when you end up owing more than your home is worth

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What Is Home Equity?

Your home equity is the appraised value of your home minus your remaining mortgage balance, usually expressed as a percentage. You’ll continue to build your home equity as long as you make on-time monthly payments and your home doesn’t vastly depreciate over time. Once you’ve paid your loan in full, you own all the equity in your home.

How Does a Home Equity Loan Work?

A home equity loan is a lump-sum loan that allows you to borrow money by leveraging your home’s equity.

The maximum amount you’re allowed to borrow is based on how much equity you have in your home, up to the amount offered by that lender. These types of loans tend to have competitive interest rates since they’re secured loans. Your home is used as collateral to secure the loan, meaning if you miss or fall behind on payments, you could face foreclosure.

How Do I Calculate Home Equity?

You’ll calculate your home equity by taking your home’s current value—based on its most recent appraisal—and subtracting it from your current mortgage balance.

For example, say your home is valued at $500,000 and your mortgage’s outstanding balance is $250,000. This would mean you have $250,000 in home equity, and your loan-to-value ratio (LTV) would be 50%. If you’re looking for a home equity loan or line of credit, lenders usually only approve up to a certain LTV ratio. For example, some lenders require 80% LTV or less.

Today, the mortgage interest rate on a 30-year fixed mortgage is 7.01%, according to the Mortgage Research Center, while the average rate on a 15-year mortgage is 6.05%. On a 30-year jumbo mortgage, the average rate is 7.27%.

30-Year Mortgage Rates

Today's average rate on a 30-year, fixed-rate mortgage is 7.01%, which is 0.05 percentage point higher than last week.

The interest plus lender fees, called the annual percentage rate (APR), on a 30-year fixed mortgage is 7.05%. The APR was 7% last week.

To get an idea about how much you might pay in interest, consider that the current 30-year, fixed-rate mortgage of 7.01% on a $100,000 loan will cost $666 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. The total amount you'll pay in interest during the loan's lifespan is $139,799.

15-Year Mortgage Rates

The average interest rate on a 15-year mortgage (fixed-rate) jumped up to 6.05%. This same time last week, the 15-year fixed-rate mortgage was at 5.97%.

The APR on a 15-year fixed is 6.11%. It was 6.03% this time last week.

At today's interest rate of 6.05%, a 15-year fixed-rate mortgage would cost approximately $847 per month in principal and interest per $100,000. You would pay around $52,381 in total interest over the life of the loan.

Jumbo Mortgage Rates

Today's average interest rate on a 30-year fixed-rate jumbo mortgage (a mortgage above 2025's conforming loan limit of $806,500 in most areas) climbed 0.06 percentage point from last week to 7.27%.

Borrowers with a 30-year, fixed-rate jumbo mortgage with today's interest rate of 7.27% will pay approximately $684 per month in principal and interest per $100,000 borrowed. That would be $146,121.

What’s an APR, and Why Is It Important?

The annual percentage rate (APR) represents a loan's interest rate and fees, expressed as an annual cost over the life of the loan. It's essentially the all-in cost of the loan.

The APR is a helpful number because it shows you the total cost of a mortgage if you keep it the entire term.

How Are Mortgage Rates Determined?

The APR, or annual percentage rate, includes the mortgage interest rate and lender fees over the life of the loan. This is an important figure because it gives borrowers a better snapshot of what they will pay for a mortgage as it shows the total cost of a mortgage if you keep it for the entire term.

How Are Mortgage Rates Determined?

Home loan borrowers can qualify for better mortgage rates by having good or excellent credit, maintaining a low debt-to-income (DTI) ratio and pursuing loan programs that don't charge mortgage insurance premiums or similar ongoing charges that increase the loan's annual percentage rate (APR).

Comparing rates from different mortgage lenders is an excellent starting point. You may also compare conventional, first-time homebuyer and government-backed programs like FHA and VA loans, which have different rates and fees.

Several economic factors influence the trajectory of rates for new home loans. For example, Federal Reserve rate hikes indirectly cause the interest rates for many long-term loans to increase. Rates are more likely to decrease when the Fed pauses or decreases its benchmark Federal Funds Rate.

The inflation rate and the general state of the economy also impact interest rates. High inflation and a strong economy typically signal higher rates. Cooling consumer demand or inflation may lead to rate decreases.

What Is the Best Type of Mortgage Loan?

As you compare lenders, consider getting rate quotes for several loan programs. In addition to comparing rates and fees, these programs can have flexible down payment and credit requirements that make qualifying easier.

Conventional mortgages are likely to offer competitive rates when you have a credit score between 670 and 850, although it's possible to qualify with a minimum score of 620. This home loan type also doesn't require annual fees when you have at least 20% equity and waive PMI.

Several government-backed programs are better when you want to make little or no down payment:

• FHA loans. Borrowers with a credit score above 580 only need to put 3.5% down and applicants with credit scores ranging from 500 to 579 are only required to make a 10% down payment with FHA loans.
• VA loans. Servicemembers, veterans and qualifying spouses don't need to make a down payment when the sales price is less than the home's appraisal value. VA loan credit requirements vary by lender.
• USDA loans. Applicants in eligible rural areas can buy or build a home with no money down using a USDA loan. Moderate-income borrowers can qualify for a 30-year fixed-rate term through the Guaranteed Loan Program. Further, buyers with a very low or low income can receive a 33-year term and payment assistance is available through the agency's Direct Loans program. Credit requirements differ by lender.

Frequently Asked Questions (FAQs)

Rates on savings accounts are mixed compared to one week ago. You can now earn 6.35% or higher on your savings.

Shopping for an account where you can park some cash? Here’s a look at some of the best savings rates you can find today.

Related: Find the Best High-Yield Savings Accounts Of 2025

Highest Savings Account Rates Today

TYPE	HIGHEST RATE	AVERAGE APY
Savings (Minimum $2,500 Deposit)	6.35%	0.23%
Savings (Minimum $10,000 Deposit)	6.35%	0.23%
Savings (Minimum $25,000 Deposit)	6.35%	0.24%

Source: Curinos. Data accurate as of January 24, 2025.

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Traditional Savings Account Rates Today

Traditional savings accounts, often called “statement savings accounts” in the banking industry, were notorious for paying puny interest rates for more than a decade after the Great Recession. But you can find much higher yields now, especially from online banks and credit unions.

The highest yield on a standard savings account with a $2,500 minimum deposit amount within the last week has been 6.35%, according to data from Curinos. If you spot a basic savings account with a rate in that ballpark, you’ve done well for yourself.

Today’s average APY for a traditional savings account is 0.23%, Curinos says. APY, or annual percentage yield, reflects the actual return your account will earn in a year. It includes compound interest, which is interest that builds on the interest already in your account.

High-Yield Savings Account Rates Today

High-yield savings accounts typically pay considerably more interest than conventional savings accounts. But the trade-off is you may have to jump through some hoops to earn that higher rate, such as becoming a member of a credit union or putting down a large deposit.

On high-yield accounts requiring a minimum deposit of $10,000, today’s best interest rate is 6.35%. That’s unchanged from one week ago.

On high-yield savings accounts with a minimum opening deposit of $25,000, the highest rate available today is 6.35%. You’ll be in good shape if you can find an account offering a rate close to 6.35%. Last week at this time, the best rate was a similar 6.35%.

The current average is 0.24% APY for a high-yield account with a $25,000 minimum deposit. That’s about the same as last week’s APY.

How High Can Savings Rates Go?

That’s tough to say—it depends on the path of inflation and the overall economy.

The highest interest rates in recent history were seen in the early 1980s when the Fed hiked the federal funds rate to over 19%. That was in response to record-breaking inflation that had prices rising at a rate of over 14% annually.

In the early 1980s, a three-month CD went as high as 18% compared to around 5% today, according to Federal Reserve data. Savings rates eventually fell as inflation cooled and the federal funds rate was brought back down.

Methodology

Curinos determines the average rates for savings accounts by focusing on those intended for personal use. Certain types of savings accounts—such as relationship-based accounts and accounts designed for youths, seniors and students—are not considered in the calculation.

Frequently Asked Questions (FAQs)

The best interest rates on CDs—certificates of deposit—range as high as 5.25% today, which is far higher than CD rates were a few years ago. Here’s an overview of the best CD rates for you.

Highest CD Rates Today by Term

CD Rates Today

TERM	HIGHEST APY	AVERAGE APY
3 Months	4.79%	1.30%
6 Months	5.25%	1.79%
1-Year CD (12 M)	5.02%	1.87%
2-Year CD (24 M)	4.52%	1.66%
3-Year CD (36 M)	4.65%	1.57%
5-Year CD (60 M)	4.50%	1.58%
Jumbo CD	5.25%	1.85%

Source: Curinos. Rates are based on a $25,000 minimum deposit. Data accurate as of January 24, 2025.

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A CD is a particular type of savings account that pays a fixed interest rate for a set period of time. The benefit is that you’ll typically receive a better yield than what you could find from a high-yield savings account. The drawback is that you can’t touch the money before the CD matures without paying a withdrawal penalty. For instance, you could lose an entire year’s worth of interest if you withdraw funds from a five-year CD before it reaches maturity.

Average CD Rates

Today's 3-Month CD Rates

Three-month CDs are a good option for short-term savings goals. The current average rate on a three-month CD sits at 1.30%, but the highest rate is 4.79%. Last week, three-month CDs earned an average of 1.30%.

Today's 6-Month CD Rates

If you're interested in a short-term CD with high yields, consider a six-month CD. The best rate today is 5.25%. The current average APY for a six-month CD is 1.79%, down from 1.80% last week at this time.

Today's 1-Year CD Rates

The highest interest rate currently available on a one-year CD—one of the most popular CD terms—is 5.02%. If you find a 12-month CD with a rate in that neighborhood, you've found a good deal. One week ago, the best rate was the same.

The average APY, or annual percentage yield, on a one-year CD is now 1.87%, the same as a week ago.

Today's 2-Year CD Rates

If you can hold out for two years, 24-month CDs today are being offered at interest rates as high as 4.52%. The top rate last week at this time was a similar 4.52%.

Two-year CDs now have an average APY of 1.66%, the same as last week at this time.

Today's 3-Year CD Rates

Within the last week, the highest rate on a three-year CD has been 4.65%, so you’ll want to shop around for that rate or something near it.

Today's 5-Year CD Rates

On a five-year CD, the highest rate today is 4.50%, the same as one week ago. APYs are averaging 1.58%, the same as this time last week.

If you opt for a five-year CD, make sure you’re aware of the early withdrawal penalty. It’s not unusual to lose one full year’s worth of interest or more if you break open a five-year CD before it matures.

Today’s Jumbo CD Rates

The best rate on today’s jumbo CDs is 5.25% for a 6-month term. The average APY for this category of CD is currently 1.85%, compared to 1.86% last week.

Most jumbo CDs require a minimum deposit of $100,000—and some even require $250,000. However, there’s no universally agreed-upon definition regarding what qualifies as a “jumbo” CD. Some banks and credit unions slap the label “jumbo” on CDs you can open with $50,000, $25,000 or even less.

Other Top CD Rates by Term

• Best 4-Year CD Rates
• Best 10-Year CD Rates
• Best 18-Month CD Rates
• Best Jumbo CD Rates
• Best IRA CD Rates
• Best No-Penalty CD Rates

Related: CD Interest Rates Forecast: How Good Will They Get?

Best CD Rates Offered by Banks in January 2025

Digital banks tend to have an edge over traditional outfits thanks to lower overhead costs and the need to offer top-of-market yields to attract new customers.

Take Chase Bank (traditional), Capital One (hybrid) and Synchrony Bank (online).

• Chase Bank CD Rates range from 0.01% to 4.00%
• Capital One 360 CD Rates range from 3.50% to 4.00%
• Synchrony Bank CD Rates range from 0.25% to 4.15%

Be sure to compare a few options with the types of banks you’re most comfortable with.

Other top CD rates by banks include:

• PNC Bank CD Rates
• Citibank CD Rates
• Wells Fargo CD Rates
• Truist CD Rates
• Ally Bank CD Rates
• Capital One 360 CD Rates

How Do CDs Work?

Opening a CD account requires a lump-sum deposit, which you can also think of as an investment. Many CDs and share certificates (the credit union equivalent of CDs) have minimum deposit requirements, ranging from a few hundred to several thousand dollars.

Once your account is open, your principal starts earning the fixed interest rate for the entirety of the term. Banks and credit unions generally send you paper or electronic statements displaying how much interest you’ve earned.

Since the goal is to let your money grow, avoid tapping your cash before the term expires. Doing so will result in an early withdrawal penalty in the form of interest earned. In rare cases, you may also lose a percentage of your principal to early withdrawal penalties.

Are CD Rates Worth It?

CDs typically pay higher interest than other savings vehicles, even the best high-yield savings accounts and money market accounts. And while they may not offer the kind of enviable returns that are possible with stocks, CDs beat the more attention-getting investments in one regard: They’re one of the safest places to put your money.

Investors lost millions in the 2022 crypto crash, and putting your money into the stock market, real estate or gold and other commodities can be risky, too. But when you buy a certificate of deposit or credit union share certificate from a federally insured financial institution, you can sleep easily with the knowledge that your investment is protected.

The Federal Deposit Insurance Corp. provides you with up to $250,000 in coverage in the event the bank issuing your CD ever fails. For share certificates purchased from federal credit unions and most state-chartered credit unions, the National Credit Union Administration insures your money up to the same limit.

Related: CD Interest Rates Forecast: How Good Will They Get?

Methodology

Curinos determines the average rates for certificates of deposit (CDs) by focusing on specific CDs and excluding others. Certain types, such as promotional offers, relationship-based rates, private, youth, senior, student/minor, affinity, bump-up, no-penalty, callable, variable, step-up, auto transfer, club, gifts, grandfathered, internet-only and IRA CDs are not considered in the calculation.

Frequently Asked Questions (FAQs)

The average rate for refinancing a 30-year fixed mortgage is currently 7.39%, according to Curinos. For refinancing a 15-year mortgage, the average rate is 6.49%, and for 20-year mortgages, it’s 7.28%.

Related: Compare Current Refinance Rates

Refinance Rates for January 27, 2025

LOAN TERM	RATE	CHANGE	RATE YESTERDAY
30-Year Fixed Refinance Rate	7.39%	+0.01	7.38%
20-Year Fixed Refinance Rate	7.28%	+0.02	7.26%
15-Year Fixed Refinance Rate	6.49%	+0.00	6.49%
30-Year Jumbo Refinance Rate	7.34%	-0.07	7.41%
15-Year Jumbo Refinance Rate	6.98%	+0.00	6.98%

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30-Year Fixed Refinance Interest Rates

The current 30-year, fixed-rate mortgage refinance is averaging 7.39%, compared to 7.35% last week.

The annual percentage rate (APR) on a 30-year, fixed-rate mortgage is 7.41%, compared to 7.37% last week. 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 of 7.39%, borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $692 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 $148,962.

20-Year Refinance Interest Rates

For a 20-year fixed refinance mortgage, the average interest rate is currently 7.28% compared to 7.24% at this time last week.

The APR, or annual percentage rate, on a 20-year fixed mortgage is 7.30%. That compares to 7.26% at the same time last week.

At today’s interest rate of 7.28%, a 20-year, fixed-rate mortgage refinance of $100,000 would cost $792 per month in principal and interest—not including taxes and fees. That would equal about $90,069 in total interest over the life of the loan.

15-Year Refinance Interest Rates

For a 15-year fixed refinance mortgage, the average interest rate is currently 6.49% compared to 6.46% at this time last week.

The APR, or annual percentage rate, on a 15-year fixed mortgage is 6.52%. That compares to 6.49% at this time last week.

Using the current interest rate of 6.49%, a 15-year, fixed-rate mortgage refinance of $100,000 would cost $870 per month in principal and interest—not including taxes and fees. That would equal about $56,661 in total interest over the life of the loan.

30-Year Jumbo Refinance Interest Rates

The average interest rate for a 30-year, fixed-rate jumbo mortgage refinance is 7.34%. Last week, the average rate was 7.38%.

Borrowers with a 30-year, fixed-rate jumbo mortgage refinance with today’s interest rate of 7.34% will pay $689 per month in principal and interest on a $100,000 loan.

15-Year Jumbo Refinance Interest Rates

A 15-year, fixed-rate jumbo mortgage refinance has an average interest rate of 6.98%, compared to an average of 6.96% last week.

At today’s rate of 6.98%, a borrower would pay $898 per month in principal and interest per $100,000 for a 15-year, fixed-rate jumbo refi. Over the life of the loan, that borrower would pay around $496,787 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.

When You Should 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)