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The rate on a 30-year fixed refinance rose to 6.96% today, according to the Mortgage Research Center. For 15-year fixed refinance mortgages, the average rate is 5.91%, and for 20-year mortgages, the average is 6.77%.
Related: Compare Current Refinance Rates
Current 30-Year Fixed Refinance Interest Rates—Climb 0.77%
Currently, the average rate for a 30-year, fixed-rate mortgage refinance is 6.96%, up 0.77% from last week. Borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $663 per month for principal and interest at the current interest rate, according to the Forbes Advisor mortgage calculator, not including taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $139,291.
Another way of looking at loan costs is the annual percentage rate, or APR. For a 30-year, fixed-rate mortgage, the APR is 6.99%, higher than last week’s 6.94%. The APR is essentially the all-in cost of the home loan.
Current 20-Year Refi Rates—Climb 1.07%
The average interest rate on the 20-year fixed refinance mortgage is 6.77%. Last week, the 20-year fixed-rate mortgage was at 6.7%.
The APR on a 20-year fixed is 6.81%, compared to 6.74% last week.
A 20-year fixed-rate mortgage refinance of $100,000 with today’s interest rate would cost $762 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay around $83,387 in total interest.
Today’s 15-Year Fixed Refinance Rates—Climb 0.61%
The 15-year fixed mortgage refinance is currently averaging about 5.91%, compared to 5.87% last week.
The APR, or annual percentage rate, on a 15-year fixed mortgage stands at 5.96%.
At the current interest rate, a borrower using a 15-year, fixed-rate mortgage refinance of $100,000 would pay $839 per month in principal and interest. That doesn’t include taxes and fees. That borrower would pay roughly $51,467 in total interest over the 15-year life of the loan.
Current 30-Year Jumbo Refinance Interest Rates—Drop 0.46%
The average interest rate on the 30-year fixed-rate jumbo mortgage refinance (a loan above the federal conforming loan limit of $806,500 in most places) dropped week-over-week to 7.33%. Last week, the average rate was 7.36%.
Borrowers with a 30-year fixed-rate jumbo mortgage refinance with today’s interest rate will pay $687 per month in principal and interest per $100,000 borrowed.
Today’s 15-Year Jumbo Refinance Rates—Drop 0.62%
A 15-year, fixed-rate jumbo mortgage refinance is 6.54% on average, down 0.62% from last week.
At today’s interest rate, a borrower with a 15-year, fixed-rate jumbo refinance would pay $874 per month in principal and interest per $100,000 borrowed. Over the life of the loan, that borrower would pay around $57,513 in total interest.
Are Refinance Rates and Mortgage Rates the Same?
Refinance rates are different from mortgage rates and tend to be slightly higher. The rate difference can vary by program and is something to consider as you compare the best mortgage refinance lenders.
In addition to having different refinance rates for conventional, FHA, VA and jumbo applications, cash-out refinance rates are higher as you’re borrowing from your available equity.
Rates for government-backed loan programs such as FHA and VA mortgage refinances can be lower than a conventional or jumbo refinance, as there is less risk for lenders. Still, you should compare your estimated loan’s annual percentage rate (APR), which includes all additional fees and determines the interest charges.
When considering a mortgage refinance, compare your current interest rate, mortgage balance and loan term with the new interest rate and term. This comparison helps you estimate your new monthly payment and savings, making it easier to determine if refinancing is the right choice.
When You Should Refinance Your Home
Refinancing your mortgage can be a wise move for many reasons, most notably lowering your interest rate or your monthly payments. It can also help you pay down your mortgage sooner, access your home’s equity or get rid of private mortgage insurance (PMI).
But there are closing costs associated with refinancing, so it probably makes more sense to refinance if you know you’ll be keeping your home for some time. You can determine the “break-even point” for a potential refinance, or how long it will take for savings from a new mortgage to surpass any closing costs. Find out what those costs will be and divide them by the monthly savings you’ll realize with the new mortgage.
The Forbes Advisor mortgage refinance calculator can help you run the numbers to see if it’s a good time for you to refinance.
How To Get Today’s Best Refinance Rates
Refinancing a mortgage isn’t that different than taking out a mortgage in the first place, and it’s always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate:
- Polish up your credit score
- Lower your debt-to-income ratio
- Keep an eye on mortgage rates
- Consider a shorter loan
Having a strong credit score is one of the best things you can do to get approved and get a lower rate. You’re also likely to look better to mortgage refinance lenders if you don’t have too much debt relative to your income. You should keep a regular watch on mortgage rates, which fluctuate often. Also see if you can manage a mortgage payment for a shorter loan term since they usually have lower interest rates.
Refinance Interest Rate Trends for 2025
National average mortgage rates have remained in the middle-to-high 6% range since the final quarter of 2024, and experts expect this trend to continue throughout the first half of 2025.
Although forecasting mortgage interest rates is challenging, economic indicators like inflation and unemployment rates can provide insights into the direction of the housing market. For example, if inflation slows and national unemployment levels remain stable or rise, the Federal Reserve may cut the federal funds rate, which could lead to lower mortgage rates. On the other hand, if inflation stays high and unemployment decreases, rates are likely to remain steady.
Since mortgage rates are expected to experience minimal movement in the first half of the year, those looking to refinance at a lower rate should consider waiting until later in the year. In the meantime, improving your credit score and making on-time payments will allow you to secure the best possible rate when you begin shopping for refinance offers.
Frequently Asked Questions (FAQs)
How do you find the best refinancing lender?
You should always shop around when you’re trying to get a new mortgage or refinance an existing one. Take a look at the best mortgage refinance lenders as a starting point and try applying online. Always find out the closing costs each lender will charge, and make sure you’re able to communicate well with the lender you want to choose. In a bumpy housing market, you’ll probably be in touch with the lender more often than you realize.
How soon can you refinance a mortgage?
In many cases, you can refinance a mortgage as soon as six months after you start paying it down, although some lenders insist that you wait 12 months. You should ask your lender to be sure.
How much does it cost to refinance a mortgage?
It can cost as much as 2% to 6% of the full cost of the loan to refinance a mortgage. Make sure to find out the exact closing costs from your lender.