Rates increase | Today's mortgage rates, April 16th, 2024

Average mortgage rates moved higher for all types of loans 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 rose.

While mortgage rates are still on track to gradually come down this year, the path might be bumpy. Lenders price mortgages based on many variables, but overall, fixed mortgage rates follow the 10-year Treasury yield, which moves as investor appetite fluctuates with the state of the economy and Federal Reserve decisions.

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 is not in a hurry to start cutting interest rates as the progress toward 2 percent inflation has encountered some turbulence,” says Greg McBride, CFA, chief financial analyst for Bankrate.

The Fed's moves impact the cost of a variety of financial products, including adjustable-rate mortgages, but also mortgage pricing more broadly. Generally, mortgage rates track down when the Fed lowers its key federal funds rate.

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 needs. Depending on your situation, it might make sense to take a higher rate now and hope to refinance later — buying a home at today’s prices rather than a higher price in the future, while building equity that much sooner.

Mortgage type	Today's rate	Last week's rate	Change
30-year fixed	7.13%	7.02%	+0.11
15-year fixed	6.64%	6.44%	+0.20
5/1 ARM	6.79%	6.60%	+0.19
30-year fixed jumbo	7.40%	7.20%	+0.20

Rates accurate as of April 16, 2024.

The rates listed here are averages based on the assumptions here. Actual rates available on-site may vary. This story has been reviewed by Suzanne De Vita. All rate data accurate as of Tuesday, April 16th, 2024 at 7:30 a.m.

Current 30 year mortgage rate moves up, +0.11%

The average rate you'll pay for a 30-year fixed mortgage today is 7.13 percent, up 11 basis points over the last week. Last month on the 16th, the average rate on a 30-year fixed mortgage was lower, at 6.96 percent.

At the current average rate, you'll pay a combined $674.06 per month in principal and interest for every $100,000 you borrow. That's an extra $7.41 compared with last week.

Use our mortgage calculator to approximate your monthly payments and see how much you’ll save by adding extra payments. The tool will also help you calculate how much interest you’ll pay over the life of the loan.

15-year mortgage rate moves upward, +0.20%

The average 15-year fixed-mortgage rate is 6.64 percent, up 20 basis points since the same time last week.

Monthly payments on a 15-year fixed mortgage at that rate will cost roughly $879 per $100,000 borrowed. That's obviously much higher than the monthly payment would be on a 30-year mortgage at that rate, 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 more quickly.

5/1 ARM rate goes up, +0.19%

The average rate on a 5/1 ARM is 6.79 percent, rising 19 basis points from a week ago.

Adjustable-rate mortgages, or ARMs, are mortgage 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 6.79 percent would cost about $651 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 loan interest rate moves up, +0.20%

The average rate you'll pay for a jumbo mortgage is 7.40 percent, an increase of 20 basis points over the last week. This time a month ago, jumbo mortgages' average rate was below that at 7.06 percent.

At the current average rate, you'll pay principal and interest of $692.38 for every $100,000 you borrow. That's an extra $13.59 compared with last week.

Refinance rates

30-year mortgage refinance rises, +0.14%

The average 30-year fixed-refinance rate is 7.11 percent, up 14 basis points since the same time last week. A month ago, the average rate on a 30-year fixed refinance was lower at 6.97 percent.

At the current average rate, you'll pay $672.71 per month in principal and interest for every $100,000 you borrow. That's $9.42 higher compared with last week.

Where are mortgage rates going?

With inflation still above the Fed’s 2 percent goal and the job market holding strong, policymakers refrained from cutting rates at the central bank’s latest meeting. That could change later this year, as the Fed still expects to slash rates three times in 2024.

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 compared to the trend.

What these rates mean for 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.

To help you uncover the best deal, get 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

• Mortgage rate trend predictions for this week
• The latest mortgage news for this week
• Compare current mortgage rates for today

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.