Average mortgage interest rate drops to six-month low | July 20, 2021

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View mortgage rates for July 20, 2021, which are down from yesterday. (iStock)

Based on data compiled by Credible, mortgage rates have fallen for all terms since yesterday. Today’s average mortgage interest rate is just 2.281%, the lowest since January 27, 2021.

  • Fixed mortgage rates over 30 years: 2.625%, compared to 2.750%, -0.125
  • 20-year fixed mortgage rates: 2.500%, vs. 2.625%, -0.125
  • Fixed mortgage rates over 15 years: 2,000%, compared to 2.125%, -0.125
  • 10-year fixed mortgage rates: 2,000%, compared to 2.125%, -0.125

Prices updated on July 20, 2021. These prices are based on the assumptions presented here. Actual rates may vary.

What does that mean: With mortgage purchase rates falling for all durations, maybe now is a great time to buy a home and save a lot of interest. Rates for a 30-year term, the most common term, fell to 2.726% today – the lowest since February. The rates under all conditions are at their lowest, so there are also plenty of opportunities to finance a home purchase with a shorter term for those who want to save on interest and can make higher monthly payments.

To find the best mortgage rate, start by using Credible, which can show you current mortgage and refinance rates:

Browse the rates of several lenders so you can make an informed decision about your home loan.

Credible, a personal finance marketplace, has 4,500 Trustpilot reviews with an average rating of 4.7 stars (out of a possible 5.0).

Looking at Mortgage Refinance Rates Today

Today’s 20-year mortgage refinance rates hit an all-time low of 2.375%, down three-quarters of a percentage point from yesterday. Homeowners looking to refinance won’t want to miss the opportunity to shorten their term while keeping their monthly payment manageable and saving interest. All-term mortgage refinancing rates are a great deal: 30-year rates are the lowest since February, and 15- and 10-year rates are just 2,000%. If you are considering refinancing an existing home, find out what refinancing rates look like:

  • Fixed refinancing rates over 30 years: 2.625%, compared to 2.750%, -0.125
  • Fixed refinancing rates over 20 years: 2.375%, vs. 2.750%, -0.375
  • Fixed refinancing rates over 15 years: 2,000%, compared to 2,250%, -0,250
  • Fixed refinancing rates over 10 years: 2,000%, unchanged

Prices updated on July 20, 2021. These prices are based on the assumptions presented here. Actual rates may vary.

A site like Credible can be of great help when you are ready to compare mortgage refinancing loans. Credible allows you to view prequalified rates for conventional mortgages from multiple lenders within minutes. Visit Credible today to begin.

Credible has earned a 4.7-star rating (out of a possible 5.0) on Trustpilot and over 4,500 customer reviews who have safely compared prequalified rates.

How to get low mortgage rates

Mortgage and refinancing rates are affected by many economic factors, such as the unemployment rate and inflation. But your personal financial history will also be determine the rates offered to you.

If you want to get the lowest possible monthly mortgage payment, the following can help you get a lower rate on your home loan:

It’s also a good idea to compare the rates of different lenders to find the best rate for your financial goals. According to research by Freddie mac, borrowers can save $ 1,500 on average over the life of their loan by purchasing one additional rate quote – and on average $ 3,000 by comparing five rate quotes.

Credible can help you compare the current rates of several mortgage lenders suddenly in a few minutes. Are you looking to refinance an existing home? Use Credible’s online tools to compare prices and pre-qualify today.

Current mortgage rates

While mortgage rates have remained at historic lows throughout the year, today’s average mortgage interest rate stands at just 2.281% – the lowest average since January.

Current 30-year mortgage rates

The current interest rate for a 30 year fixed rate mortgage is 2.625%. This is down from yesterday. Thirty years is the most common mortgage repayment term because 30-year mortgages typically give you a lower monthly payment. But they also usually come with higher interest rates, which means you’ll end up paying more interest over the life of the loan.

Current 20-year mortgage rates

The current interest rate for a 20 year fixed rate mortgage is 2,500%. This is down from yesterday. Shortening your repayment term by just 10 years can mean you’ll get a lower interest rate and pay less total interest over the life of the loan.

Current 15-year mortgage rates

The current interest rate for a 15 year fixed rate mortgage is 2,000%. This is down from yesterday. Fifteen-year mortgages are the second most common mortgage term. A 15-year mortgage can help you earn a lower rate than a 30-year term and pay less interest over the life of the loan, while still keeping monthly payments manageable.

Current 10-year mortgage rates

The current interest rate for a 10 year fixed rate mortgage is 2,000%. This is down from yesterday. While less common than 30- and 15-year mortgages, a 10-year fixed-rate mortgage usually gives you lower interest rates and lifetime interest charges, but a higher monthly mortgage payment.

You can explore your mortgage options in minutes by visiting Credible to compare the current rates of various lenders who offer mortgage refinances as well as home loans. Discover Credible and get prequalified today, and take a look at today’s refinance rates via the link below.

Thousands of Trustpilot reviewers rate Credible “excellent”.

Prices updated on July 20, 2021. These prices are based on the assumptions presented here. Actual rates may vary.

How mortgage rates have changed

Today, two key mortgage rates are down compared to the same period last week, while two others are unchanged.

  • Fixed mortgage rates over 30 years: 2.625%, compared to 2.875% last week, -0.250
  • 20-year fixed mortgage rates: 2.500%, compared to 2.625% last week, -0.125
  • Fixed mortgage rates over 15 years: 2,000%, unchanged from last week
  • 10-year fixed mortgage rates: 2,000%, unchanged from last week

Prices updated on July 20, 2021. These prices are based on the assumptions presented here. Actual rates may vary.

If you are trying to find the right rate for your mortgage or are looking to refinance an existing home, consider using Credible. You can use Credible’s free online tool to easily compare multiple lenders and see prequalified rates in minutes.

With over 4,500 reviews, Credible maintains an “excellent” Trustpilot score.

Mortgage rate forecast in 2021

Researchers from Freddie mac expect mortgage rates to rise slightly throughout 2021, citing the Federal Reserve’s commitment to keep interest rates low for the foreseeable future.

Fannie Mae researchers predict that mortgage rates will trend up slightly this year, citing a continued rise in the 10-year Treasury yield. Ultimately, however, experts at Fannie Mae believe lenders will “absorb” some of the high costs as “the demand for refinancing gradually declines” – keeping rates relatively stable.

Here is the forecast for what the 30-year fixed rates will look like for the rest of the year:

Freddie mac

  • Q2 (April to June): 2.9%
  • Q3 (July to September): 3.0%
  • Q4 (October to December): 3.0%

Fannie Mae

  • Q2 (April to June): 2.8%
  • Q3 (July to September): 2.9%
  • Q4 (October to December): 2.9%

How accurate were their predictions?

30-year average real fixed rate in the first quarter (January to March): 2.877%

  • Freddie Mac Prediction: 2.9%
  • Fannie Mae Prediction: 2.7%

Looking to lower your home insurance rate?

A home insurance policy can help you cover unforeseen costs you might incur during homeownership, such as structural damage and destruction or theft of personal property. Coverage can vary widely among lenders, so it’s wise to shop around and compare policy quotes.

Credible has a partnership with a home insurance broker. You can compare for free home insurance quote via Credible’s partner here. It’s quick, easy and the whole process can be done entirely online.

Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at [email protected] and your question could be answered by Credible in our Money Expert column.

As a credible authority on mortgages and personal finance, Chris Jennings has covered topics such as mortgages, mortgage refinancing, and more. He was an editor and editorial assistant in the online personal finance field for four years. His work has been featured by MSN, AOL, Yahoo Finance, and more.


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