10-Year Mortgage Rates

Current state of 10-year mortgage rates

Due to the economic impact of COVID-19, the federal government has cut interest rates. These cuts affect various types of mortgages differently, and have also driven a spike in demand, putting pressure on lenders and their staff. Some are slowing down business and tightening credit standards. As a result, at times, you may see higher rates or no rates on our site. Rates on 10-year mortgages tend to follow the 10-year Treasury yield, which has also fallen sharply amid the coronavirus. Learn more about the coronavirus’ impact on mortgage rates.

Today’s 10-year mortgage rates

The table below brings together a comprehensive national survey of mortgage lenders to help you know what are the most competitive mortgage interest rates. This interest rate table is updated daily to give you the most current rate when choosing a mortgage home loan.

Product Interest Rate APR
30-Year Fixed Rate 3.580% 3.820%
20-Year Fixed Rate 3.460% 3.700%
15-Year Fixed Rate 2.880% 3.150%
10/1 ARM Rate 3.550% 3.820%
7/1 ARM Rate 3.350% 3.810%
5/1 ARM Rate 3.310% 3.900%
30-Year VA Rate 3.340% 3.400%
30-Year FHA Rate 3.330% 3.570%
30-Year Fixed Jumbo Rate 3.720% 3.800%
15-Year Fixed Jumbo Rate 2.970% 3.010%
7/1 ARM Jumbo Rate 3.240% 3.690%
5/1 ARM Jumbo Rate 3.060% 3.640%

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What’s a 10-year mortgage?

“A 10-year fixed mortgage is just a 10-year amortization,” explains Silverton Mortgage President Josh Moffitt, whose company is based in Atlanta. “Your rate payment is done over 10 years, as opposed to many traditional mortgages which are paid over 30 years. By shortening the term it's a massive amount of savings because you're putting 20 years of interest away.”

For the buyer who wants to pay off their mortgage quickly while reducing how much total interest they pay, the 10-year mortgage offers a structured opportunity to do just that. To find out if a 10-year mortgage is right for you, do the math using a mortgage calculator.

Get the latest interest rates for 10-year fixed-rate mortgages. Be sure to check back regularly, as rates change.

Comparing 10-year loan term to other loan terms

Generally, the shorter the loan term, the lower the interest rate. The downside of loans with shorter terms is that the monthly payments are bigger. There are many aspects for and against 10-year loans. The pros are that you will end up paying less in interest and your mortgage will be paid off sooner than longer loans. The cons are that your monthly mortgage payment will be significantly larger than if you had a longer-term loan.

Compare current mortgage interest rates today to find out how much you can save by going with a shorter loan. Once you crunch the numbers, you might find that it’s worth it to pay more each month to save on the total loan’s interest costs.

Here are three loan scenarios that show monthly payments vs. total cost on $300,000 mortgages with interest rates that reflect loan type (remember, shorter loans have lower rates):

Loan Type Interest Rate Total Cost Monthly Payment Total Interest Paid
10-Year Mortgage 3% $347,618 $2,897 $47,618
15-Year Mortgage 3.25% $379,441 $2,108 $79,441
30-Year Mortgage 3.50% $484,968 $1,347 $184,968

Advantages and disadvantages of a 10-year loan term

A 10-year mortgage isn’t for everyone. Few people have the financial resources to repay a loan so quickly. But there are decided advantages along with the disadvantages.

Advantages:

Disadvantages:

10-year fixed loan vs. ARM loan

Both the 10-year fixed mortgage and the adjustable-rate mortgage, or ARM, typically have lower interest rates than their longer-term, fixed-interest counterparts. The main difference between them is that the 10-year fixed-rate mortgage has a locked interest rate and the ARM has a floating rate. It’s important to note that ARMs have a “fixed period” when the rate does not adjust. For example, in 5/1 ARMs, the interest rate stays the same for the first five years.

If you plan on selling within five years, you can compare the 5/1 ARM with a 10-year mortgage to see which one has the lower rate. But keep in mind that the typical ARM amortizes over 30 years, which means the payments will be much lower than a 10-year loan, even if it has a lower interest rate.

And at the end of five years, and assuming identical interest rates on the two loans, you’ll have paid down about 12 percent of the balance of the 5/1 30-year ARM, while with the 10-year fixed, you’ll have paid off nearly half the balance.

There are also 7/1 ARMs, which lock the rate for the first seven years. If you intend on staying longer then you might want to consider a 10-year fixed-rate loan.

How to find the best mortgage for you

Once you’ve decided which term is right for you, you’ll want to do your due diligence to find the best mortgage. Here are five kinds of mortgages to consider. You’ll want to do some research and compare mortgage rates from several entities, which could include traditional banks, online lenders and mortgage brokers. Prepare by reviewing your credit report to confirm it’s correct and have an idea of how much you can afford to pay each month.

The good news is that any time of year can be a good time to shop for a mortgage. “Mortgage rates are tied to the bond market, so there's not a good or bad season,” Moffitt explains. He adds that fees for a 10-year mortgage will be similar to those of other mortgages.

If you choose a mortgage with a longer repayment term and decide you want to pay it off faster—say in 10 years—calculate what your monthly payment would be if you had a 10-year mortgage rate and pay that amount each month. Be sure to instruct your lender to apply the extra funds to the principal. This is a good option for borrowers who want to pay aggressively but who don’t want to be locked into higher payments.

Other useful tools:

Learn more about specific loan type rates
Loan Type Purchase Rates Refinance Rates
The table above links out to loan-specific content to help you learn more about rates by loan type.
30-Year Loan 30-Year Mortgage Rates 30-Year Refinance Rates
20-Year Loan 20-Year Mortgage Rates 20-Year Refinance Rates
15-Year Loan 15-Year Mortgage Rates 15-Year Refinance Rates
10-Year Loan 10-Year Mortgage Rates 10-Year Refinance Rates
FHA Loan FHA Mortgage Rates FHA Refinance Rates
VA Loan VA Mortgage Rates VA Refinance Rates
ARM Loan ARM Mortgage Rates ARM Refinance Rates
Jumbo Loan Jumbo Mortgage Rates Jumbo Refinance Rates

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