30-Year Interest Rates, November 16, 2020 | Rates abate

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30-year mortgage interest ratesThe average rate for a 30-year fixed-rate mortgage is 2.96 percent, falling 10 basis points over the previous seven days. One month ago, the average interest rate on a 30-year mortgage was worse, at 3.04 percent.At today’s interest rate, you’ll pay principal and interest of $419.45 for every $100k you borrow. Compared to a week ago, that’s $5.40 lower. Use Bankrate’s mortgage rate calculator to calculate your monthly payments and see how much you’ll save by adding extra payments. This calculator will also help you calculate how much interest you’ll pay over the life of your loan.30-year fixed refi ratesToday’s average refinance rate for a 30-year fixed-rate mortgage is 3.06 percent, a decrease of 1 basis point compared to a week ago. A month ago, the average rate on a 30-year mortgage was 3.16 percent.At the current average rate, you’ll pay principal and interest of about $425 for every $100k you borrow. Compared to last week, that’s $0.54 lower. Pros and cons of a 30-year fixed mortgageThe 30-year mortgage is the most popular option for homeowners, and this type of loan has a number of advantages, including:
Lower monthly payment. Compared to a shorter term, such as 15 years, the 30-year mortgage offers lower, more affordable payments spread over time.
Stability. With the 30-year, you lock in a consistent principal and interest payment. That predictability lets you plan your housing expenses for the long term. Remember: Your monthly housing payment can change if your homeowners insurance and property taxes go up or, less likely, down.
Buying power. With lower payments, you can qualify for a larger loan amount and a more expensive home.
Flexibility. Lower monthly payments can free up some of your monthly budget for other goals, like saving for emergencies, retirement, college tuition or home repairs and maintenance.
Strategic use of debt. Some argue that Americans focus too much on paying down their mortgages rather than adding to their retirement accounts. A 30-year fixed mortgage with a smaller monthly payment can allow you to save more for retirement.
As with any financial product, the 30-year mortgage does have some negatives, including:
More total interest paid. Stretching out repayment to a 30-year term means you pay more overall in interest than you would with a shorter-term loan.
Higher mortgage rates. Compared to 15-year loans, lenders charge higher interest rates for 30-year loans because they’re taking on the risk of not being repaid for a longer time span.
Slower equity growth. The amortization table for a 30-year mortgage reveals a harsh reality: In the early years, almost all of your payments go to interest rather than principal. A 15-year loan brings a higher monthly payment but much faster retirement of the loan amount.
Buying a more expensive house than you should. Just because you might be able to afford more house with a 30-year loan doesn’t mean you should stretch your budget to the breaking point. Give yourself some breathing room for other financial goals and unexpected expenses. Use Bankrate’s home affordability calculator to determine how much house you can afford.
30-year fixed mortgage vs. 15-year fixed mortgage
The main drawback of a 30-year fixed-rate mortgage is the amount of interest you’ll pay. Mortgage rates are typically higher for 30-year loans than 15-year loans. Although your monthly payments will be lower for a 30-year loan, you’ll pay a lot more interest over the life of the loan.
For example, with a 15-year fixed loan, you’ll cut your repayment time in half and save significantly on interest in the process. Compare how much interest you’ll pay on 15-year and 30-year loans with Bankrate’s 15-year or 30-year fixed mortgage calculator.
Mortgage lock recommendations
A rate lock guarantees a lender will honor a specified interest rate at a specific cost for a set period. The benefit of a mortgage rate lock is that it protects you from market fluctuations. It also puts pressure on borrowers to make sure they close on homes before the rate-lock period expires. For example, if your lender locks in your rate at 3.75 percent for 45 days and rates jump up to 4 percent within that period, you’ll still get your loan at the lesser rate.
If they choose not to lock in your rate, you’ll have a “floating” rate. That’s not a bad strategy when interest rates are generally falling, but it could be costly in a rising rate environment. For risk-averse people who are looking for a mortgage, a rate-lock is a must. It’s a good idea to ask for a 45-day lock at a minimum; 60 days is even better.
Where rates are headed
Each week, Bankrate asks a panel of mortgage experts where they think mortgage rates will go over the next week. See Bankrate’s Mortgage Rate Trend Index for weekly projections.
In order to provide the latest rates, mortgage lenders across the nation respond to Bankrate’s weekday mortgage rates survey to bring you the most current rates available. Here you can see the latest marketplace average rates for a range of purchase and refinance loans.
Searching for the right mortgage lender? See reviews of lenders nationwide.
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Mortgage interest rates today
Current refinance rates

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Check rates for specific loan types

Loan Type
Purchase Rates
Refinance Rates

The chart above links out to loan-specific content to help you learn more about rates by product type.

30-Year Loan
Current 30 Year Mortgage Rates
Current 30 Year Refinance Rates

20-Year Loan
20-Year Mortgage Interest Rates
20-Year Refinance Rates

15-Year Loan
15-Year Mortgage Rates
15-Year Mortgage Refinance Rates

10-Year Loan
10-Year Fixed Mortgage Rates
10-Year Refi Interest Rates

FHA Loan
FHA Loan Interest Rates
FHA Mortgage Refi Rates

VA Loan
VA Mortgage Rates
Current VA Refinance Rates

ARM Loan
ARM Mortgage Rates
ARM Refi Mortage Rates

Jumbo Loan
Current Jumbo Mortgage Rates
Jumbo Refi Interest Rates

Methodology
The rates you see above are Bankrate.com Site Averages. These calculations are run after the close of the previous business day and include rates and/or yields we have collected that day for a specific banking product. Bankrate.com site averages tend to be volatile — they help consumers see the movement of rates day to day. The institutions included in the “Bankrate.com Site Average” tables will be different from one day to the next, depending on which institutions’ rates we gather on a particular day for presentation on the site.
To learn more about the different rate averages Bankrate publishes, see “Understanding Bankrate’s on-site rate averages”.

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