Current Mortgage Rates -- June 9, 2021: Rates Down for Most Loans

Did mortgage rates go up or down today?

Would-be homeowners should keep close tabs on mortgage rates to get an idea of whether a home loan will be affordable.

Although your financial credentials determine your personalized rate, you can check out average mortgage rates for June 9, 2021 to see what a typical home buyer would pay to borrow:

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

30-year mortgage rates

The average 30-year mortgage rate today is 3.152%, down 0.006% from yesterday's average of 3.158%. A loan at today's average rate would come with a monthly principal and interest payment of $430 per $100,000 borrowed. Total interest costs would be $54,745 per $100,000 in mortgage debt over the life of the loan.

20-year mortgage rates

The average 20-year mortgage rate today is 2.940%, down 0.002% from yesterday's average of 2.942%. If you borrow at today's average rate, you'd have a monthly principal and interest payment of $552 per $100,000 borrowed. During your entire loan repayment period, you'd pay total interest costs of $32,384 per $100,000 borrowed.

The total costs of this loan are much lower than the total costs of the 30-year alternative due to the shortened payoff time. But since you aren't making as many payments, each must be higher. That's the tradeoff you must consider when deciding on your loan payoff timeline.

15-year mortgage rates

The average 15-year mortgage rate today is 2.419%, up 0.001% from yesterday's average of 2.418%. For each $100,000 borrowed at today's average rate, your monthly principal and interest payment would add up to $663. Over the life of the loan, your total interest costs would add up to $19,337 per $100,000 borrowed.

With this loan option, monthly payments are very expensive, but total costs over time are very low. Although paying so little interest over time is attractive, consider the opportunity cost of committing to such a large payment every month.

5/1 ARMs

The average 5/1 ARM rate is 2.918%, down 0.061% from yesterday's average of 2.979%. This rate is guaranteed to last only five years. After that time, it can adjust once per year. Since rates are still very low now, the chances the rate will adjust up are high. Consider this potential risk when deciding whether to choose an ARM or fixed-rate loan.

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.