A number of key mortgage rates fell in the Miami area this week.
Benchmark 30-year rate falls in Miami
According to Bankrate's national survey of large lenders, the average rate on the benchmark 30-year fixed-rate mortgage rate for the Miami area fell to 4.17 percent. While the local rate was down 2 basis points from last week, it eclipsed the national average rate of 4.13 percent. A basis point is one-hundredth of 1 percentage point.
Mortgages in this week's survey had an average of 0.14 discount and origination points.
"The drop in the 30-year fixed is cause for celebration among those who waited to lock on a rate, as their wager paid off," says Holden Lewis, Bankrate's senior mortgage analyst.
Monthly payments on a hypothetical $165,000 mortgage fell to $803.99, down $1.92 from last week, corresponding with the decline in mortgage rates.
No clear direction for other Miami mortgage types
The average rate for 30-year jumbo mortgages fell this week, down 4 basis points to 4.19 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 slid to 3.43 percent, dipping 2 basis points from last week. Monthly payments on a hypothetical $165,000, 15-year fixed-rate mortgage followed rates ticking downwards, ticking down $1.62 to $1,173.89.
"The 15-year fixed is a popular mortgage for homeowners who want to refinance. With this fall in the 15-year fixed, a refinance will be more tempting to some homeowners," says Lewis.
The benchmark 5/1 adjustable-rate mortgage rate climbed to 3.33 percent this week, a rise of 4 basis points. 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 common variety of variable-rate mortgage.
Weekly mortgage survey
|Results from Bankrate's survey of mortgage lenders conducted May 24, 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:||4.17%||3.43%||3.33%||4.19%|
|Change from last week:||-0.02||-0.02||+0.04||-0.04|
|Change from last week:||-$1.92||-$1.62||+$3.65||-$9.88|
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."