Current Mortgage Rates -- November 3, 2021: Rates Fall for 30-Year Loan
by Christy Bieber | Published on Nov. 3, 2021
Mortgage rates affect the costs of homeownership. Here are the current mortgage rates for fixed and adjustable-rate loans on Nov. 3, 2021.
On Nov. 3, 2021, average mortgage rates are down or stable for fixed-rate loan options. The interest rate you pay on your home loan affects how much property ownership costs you over time. Higher rates make buying a property more expensive while lower rates reduce your costs.
Take a look at today's average rates so you can get an idea of how they are trending:
|Mortgage Type||Today's Interest Rate|
|30-year fixed mortgage||3.279%|
|20-year fixed mortgage||2.954%|
|15-year fixed mortgage||2.539%|
30-year mortgage rates
The average 30-year mortgage rate today is 3.279%, down 0.016% from yesterday's average of 3.295%. If you borrow at today's average rate, your monthly principal and interest payment would be $437 per $100,000 borrowed. Over the life of the loan, your total interest costs would add up to $57,248 per $100,000 borrowed.
20-year mortgage rates
The average 20-year mortgage rate today is 2.954%, down 0.035% from yesterday's average of 2.989%. A loan at today's average rate would come with a monthly principal and interest payment of $552 per $100,000 borrowed. Total interest costs would be $32,551 per $100,000 in mortgage debt over the life of the loan.
If you're looking for a loan that is cheaper over time, the 20-year mortgage is a better option than the 30-year because you reduce your interest rate. And by shortening your payment timeline, you reduce the time you pay interest and thus lower your total costs. A loan with a shorter payoff term necessitates making higher monthly payments, though, so be aware of this downside.
15-year mortgage rates
The average 15-year mortgage rate today is 2.539%, unchanged from yesterday's average. You'd be looking at a principal and interest payment of $669 per $100,000 borrowed at today's average rate. During your entire loan repayment period, you'd pay total interest costs of $20,353 per $100,000 borrowed.
A 15-year loan comes with an even shorter payoff time than the 20-year loan, so the monthly payments can be really high. But, on the flip side, the low rate and short period of time you pay interest results in a loan that's very affordable in the long run.
The average 5/1 ARM rate is 2.928%, up 0.033% from yesterday's average of 2.895%. Because ARM stands for adjustable-rate mortgage, this rate isn't guaranteed to stay the same for the life of the loan as the other rates are. Since it could change, you take a risk of rising rates and higher total borrowing costs.
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.
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