Mortgage rates moved in different directions in the Miami area this week.
Key 30-year rate rises in Miami
The average rate on the benchmark 30-year fixed-rate mortgage rate for the Miami area advanced to 4.03 percent, according to Bankrate's national survey of large lenders. While it was less than the national average rate of 4.05 percent, the local rate was up 2 basis points from last week. A basis point is one-hundredth of 1 percentage point.
The mortgages in the survey for this week had an average of 0.15 discount and origination points.
With the 30-year fixed rising, it means that homebuyers and refinancers will find their borrowing costs have grown.
The growth in the mortgage rate punched up 30-year fixed-rate monthly payments on a hypothetical $165,000 mortgage to $790.59, an addition of $1.91 from last week.
Other Miami mortgage types mixed
Breaking ranks with the 30-year conventional mortgage, the average rate for 30-year jumbo mortgages didn't do much of anything this week, remaining at 4.02 percent. Jumbo mortgages are used for loan amounts above limits set by the Federal Housing Finance Agency; for the Miami area, that limit is $424,100.
The average rate for 15-year fixed-rate mortgages slipped to 3.29 percent, slipping 3 basis points from last week. Monthly payments on a hypothetical $165,000, 15-year fixed-rate mortgage followed rates down, falling $2.41 to $1,162.61.
The 15-year fixed is a popular mortgage for homeowners who want to refinance. With this decrease in the 15-year fixed, a refinance will be more profitable to some homeowners.
The benchmark 5/1 adjustable-rate mortgage rate remained constant at 3.50 percent this week. 5/1 adjustable-rate mortgages allow property owners to pay a fixed rate for the first 5 years, and the rate adjusts once per year every year after. They are the most popular type of variable-rate mortgage.
Weekly mortgage survey
|Results from Bankrate's survey of mortgage lenders conducted August 16, 2017. Monthly payments are for a $165,000 loan. The jumbo rate is for the minimum jumbo loan amount of $424,100 in the Miami area.|
|30-year fixed||15-year fixed||5-year ARM||30-year jumbo|
|This week's rate:||4.03%||3.29%||3.50%||4.02%|
|Change from last week:||+0.02||-0.03||N/C||N/C|
|Change from last week:||+$1.91||-$2.41||N/C||N/C|
Methodology: The "Bankrate.com National Average," or "national survey of large lenders," is conducted weekly. To conduct the National Average survey, Bankrate obtains rate information from the 10 largest banks and thrifts in 10 large U.S. markets. In the Bankrate.com national survey, our Market Analysis team gathers rates and/or yields on banking deposits, loans and mortgages. We've conducted this survey in the same manner for more than 30 years, and because it's consistently done the way it is, it gives an accurate national apples-to-apples comparison.
To learn more about the different rate averages Bankrate publishes, see "Understanding Bankrate's Rate Averages."