Rates increase - Mortgage rates for April 19th, 2024

National mortgage rates rose for all loan terms compared to a week ago, according to data compiled by Bankrate. Rates for 30-year fixed, 15-year fixed, 5/1 ARMs and jumbo loans edged higher.

Some forecasters are backing off from the earlier expectation of lower mortgage rates this year. The movement of fixed mortgage rates parallels the 10-year Treasury yield, which moves as investor appetite fluctuates with the state of the economy, inflation and Federal Reserve decisions.

“The issue of inflation remains unsettled,” says Ken Johnson of Florida State University. “This is putting upward pressure on mortgage rates through the yield on 10-year Treasurys.”

The Fed indicated it'd cut rates in 2024, but policymakers held off at its latest meeting, citing the need for more promising economic data. The Fed has been working to bring inflation back to its 2 percent target since 2022.

The Fed meets next on May 1 — the start of one of the busiest homebuying months.

Whether mortgage rates move up or down, though, it’s tough to time the market. Often, the decision to buy a home comes down to what you need. Depending on your situation, it might make sense to take a higher rate now and refinance later. This way you can start building equity, rather than hoping for a future of more favorable rates and home prices that might not materialize.

Rates accurate as of April 19, 2024.

The rates listed above are marketplace averages based on the assumptions indicated here. Actual rates listed across the site may vary. This story has been reviewed by Suzanne De Vita. All rate data accurate as of Friday, April 19th, 2024 at 7:30 a.m. ET.

Today's 30-year mortgage rate advances, +0.21%

The average rate you'll pay for a 30-year fixed mortgage today is 7.26 percent, up 21 basis points over the last seven days. This time a month ago, the average rate on a 30-year fixed mortgage was lower, at 6.98 percent.

At the current average rate, you'll pay $682.85 per month in principal and interest for every $100,000 you borrow. That's an additional $14.19 per $100,000 compared to last week.

While the 30-year rate is the most popular mortgage term, 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. Lenders charge higher interest rates for 30-year mortgages compared to 15-year loans. That's 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 payoff of the loan amount.
• Buying a pricier 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.

Learn more: What is a fixed-rate mortgage and how does it work?

15-year fixed mortgage rate increases, +0.17%

The average rate for the benchmark 15-year fixed mortgage is 6.70 percent, up 17 basis points since the same time last week.

Monthly payments on a 15-year fixed mortgage at that rate will cost roughly $882 per $100,000 borrowed. That may put more pressure on your monthly budget than a 30-year mortgage would, but it comes with some big advantages: You'll come out several thousand dollars ahead over the life of the loan in total interest paid and build equity much faster.

5/1 ARM rate trends higher, +0.15%

The average rate on a 5/1 adjustable rate mortgage is 6.74 percent, ticking up 15 basis points from a week ago.

Adjustable-rate mortgages, or ARMs, are home loans that come with a floating interest rate. To put it another way, the interest rate will change at regular intervals, unlike fixed-rate mortgages. These types of loans are best for those who expect to sell or refinance before the first or second adjustment. Rates could be considerably higher when the loan first adjusts, and thereafter.

While borrowers shunned ARMs during the pandemic days of super-low rates, this type of loan has made a comeback as mortgage rates have risen.

Monthly payments on a 5/1 ARM at 6.74 percent would cost about $648 for each $100,000 borrowed over the initial five years, but could ratchet higher by hundreds of dollars afterward, depending on the loan's terms.

Jumbo mortgage rate advances, +0.13%

The average rate for the benchmark jumbo mortgage is 7.37 percent, an increase of 13 basis points over the last week. A month ago, jumbo mortgages' average rate was lesser at 7.09 percent.

At today's average jumbo rate, you'll pay $690.33 per month in principal and interest for every $100,000 you borrow. Compared to last week, that's $8.83 higher.

Refinance rates

Today's 30-year mortgage refinance rate goes up, +0.19%

The average 30-year fixed-refinance rate is 7.25 percent, up 19 basis points over the last week. A month ago, the average rate on a 30-year fixed refinance was lower at 6.99 percent.

At the current average rate, you'll pay $682.18 per month in principal and interest for every $100,000 you borrow. That's an additional $12.84 per $100,000 compared with last week.

Where are mortgage rates going?

If and when the Fed cuts interest rates depends on incoming economic data, such as the rate of inflation and the jobs market.

“While the majority of Fed members still expect three rate cuts this year, Atlanta Fed President Bostic is now predicting just one rate cut in the fourth quarter,” says Melissa Cohn of William Raveis Mortgage. “Not the news we want for the spring market.”

Keep in mind: The rates on 30-year mortgages mostly follow the 10-year Treasury, which shifts continuously as economic conditions dictate, while the cost of variable-rate home loans mirror the Fed’s moves.

These broader factors influence overall rate movement. As a borrower, you could be quoted a higher or lower rate than the trend based on your own financial profile.

What current rates mean for you and your mortgage

While mortgage rates change daily, it’s unlikely we’ll see rates back at 3 percent anytime soon. If you’re shopping for a mortgage now, it might be wise to lock your rate when you find an affordable loan. If your house-hunt is taking longer than anticipated, revisit your budget so you’ll know exactly how much house you can afford at prevailing market rates.

You could save serious money on interest by getting at least three loan offers, according to Freddie Mac research. You don’t have to stick with your bank or credit union, either. There are many types of mortgage lenders, including online-only and local, smaller shops.

"All too often, some [homebuyers] take the path of least resistance when seeking a mortgage, in part because the process of buying a home can be stressful, complicated and time-consuming," says Mark Hamrick, senior economic analyst for Bankrate. "But when we’re talking about the potential of saving a lot of money, seeking the best deal on a mortgage has an excellent return on investment. Why leave that money on the table when all it takes is a bit more effort to shop around for the best rate, or lowest cost, on a mortgage?”

More on current mortgage rates

• Expert poll: Mortgage rate trend predictions for this week
• Latest mortgage news for this week
• Compare today's mortgage rates

Methodology

Bankrate displays two sets of rate averages that are produced from two surveys we conduct: one daily (“overnight averages”) and the other weekly (“Bankrate Monitor averages”).

The rates on this page represent our overnight averages. For these averages, APRs and rates are based on no existing relationship or automatic payments.

Learn more about Bankrate’s rate averages, editorial guidelines and how we make money.