Current Mortgage Rates -- December 8, 2021: Rates Up for Fixed-Rate Loans

Mortgage rates can move up and down. Check out how average rates are trending on Dec. 8, 2021.

Average mortgage rates are up for all fixed-rate loans today. Here's what you need to know about how rates are trending on fixed and adjustable-rate loans if you want to get an idea of what it might cost you to borrow to purchase a property.

Data source: The Ascent's national mortgage interest rate tracking.

30-year mortgage rates

The average 30-year mortgage rate today is 3.330%, up 0.01% from yesterday's average of 3.320%. If you borrow at today's average rate, you'd have a monthly principal and interest payment of $440 per $100,000 borrowed. Your total interest costs over the life of the loan would equal $58,259 per $100,000 borrowed.

20-year mortgage rates

The average 20-year mortgage rate today is 3.076%, up 0.008% from yesterday's average of 3.068%. At today's average rate, the monthly principal and interest payment would add up to $558 per $100,000 in mortgage debt. Over the life of the loan, you'd pay total interest costs of $34,018 per $100,000 borrowed.

If you're interested in a loan with lower total costs and don't mind making higher monthly payments, a 20-year mortgage can be a good middle ground. It's not as expensive each month as a 15-year loan since the payoff time is a little longer, but it cuts a decade off the time you pay interest compared with the 30-year loan so you save a lot over time.

15-year mortgage rates

The average 15-year mortgage rate today is 2.560%, up 0.022% from yesterday's average of 2.538%. A loan at today's average rate would come with a monthly principal and interest payment of $670 per $100,000 borrowed. During your entire loan repayment period, you'd pay total interest costs of $20,531 per $100,000 borrowed.

This loan is your best bet if your goal is to save as much as you can and you don't mind making higher monthly payments. You'll benefit from the fact that you pay off your loan quickly and get a low interest rate -- both of which make your total costs as low as possible. The tradeoff, however, is that each monthly payment you'll need to make will be quite high due to the short payoff time.

5/1 ARMs

The average 5/1 ARM rate is 3.381%, down 0.02% from yesterday's average of 3.401%. ARM stands for adjustable-rate mortgage. That means your rate can adjust or change over time. It's locked in for the first five years but can move up or down after that, leaving you with higher monthly payments and higher total costs if it ends up increasing.

Should I lock my mortgage rate now?

A mortgage rate lock guarantees you a certain interest rate for a specified period of time -- usually 30 days, but you may be able to secure your rate for up to 60 days. You'll generally pay a fee to lock in your mortgage rate, but that way, you're protected in case rates climb between now and when you actually close on your mortgage.

If you plan to close on your home within the next 30 days, then it pays to lock in your mortgage rate based on today's rates -- especially since they're so competitive. But if your closing is more than 30 days away, you may want to choose a floating rate lock instead for what will usually be a higher fee, but one that could save you money in the long run. A floating rate lock lets you secure a lower rate on your mortgage if rates fall prior to your closing, and while today's rates are still quite low, we don't know if rates will go up or down over the next few months. As such, it pays to:

• LOCK if closing in 7 days
• LOCK if closing in 15 days
• LOCK if closing in 30 days
• FLOAT if closing in 45 days
• FLOAT if closing in 60 days

To find out what rates are available to you, compare rates from at least three of the best mortgage lenders before locking in.