Today’s mortgage rates have dropped significantly the past few years. Mortgage rates hit record lows toward the end of 2010. Mortgage rates and refinance rates were driven to record lows by the Fed to help the housing market recover and stop falling home prices by keeping home loan homeloanratestoday.net rates low.
If you are buying a home or refinancing a mortgage now is one of the best times ever to buy or refinance because rates are so low. You can get several types of mortgages with rates below 5.00 percent. Today’s mortgage rates on 30 year home loans are as low as 4.00 percent if you’re willing to pay points with the loan. Just be sure to take advantage of a mortgage calculator mortgage-calculators.me to see how much you can afford for a mortgage.
Late in 2011 already low rates started dropping even more because the Fed starting a program of buying bonds which drove yields lower. Mortgage rates are tied to bond yields so if bond yields go lower so do mortgage loan rates.
Back in the mid 2000s fixed conforming 30 year mortgage rates were around 8.00 percent. If you’re able to get a rate around the 4.00 percent range that is an excellent deal. Each 1 percent higher on a mortgage rate on a $100,000 loan is equal to a $600 payment.
If you can afford to get a 15 year home loan which makes monthly loan payments higher because you’re paying off the loan in half the time you can get an even lower rate.
Current mortgage rates and refinance rates on 15 year mortgages are around 3.50 percent with points. If you don’t want to pay points up front 15 year loan rates will be higher, probably around 4.25 percent.