Current 15-year refinance rates

The table below brings together a comprehensive national survey of mortgage lenders to help you know what are the most competitive 15-year refinance interest rates. This interest rate table is updated daily to give you the most current rates when choosing a 15-year refinance home loan.

Rates as of Thursday, December 02, 2021 at 6:30 AM

Top 5 Bankrate 15-year refinance lenders

• Better.com – Best no-fee lender
• Cardinal Financial Company – Best for low-credit score borrowers
• Sage Mortgage – Best broker
• Interfirst Mortgage Company – Best online lender
• AmeriSave Mortgage Corporation – Best non-bank lender

Methodology

Bankrate helps thousands of borrowers find mortgage and refinance lenders every day. To determine the top mortgage lenders, we analyzed proprietary data across more than 150 lenders to assess which on our platform received the most inquiries within a three-month period. We then assigned superlatives based on factors such as fees, products offered, convenience and other criteria. These top lenders are updated regularly.

Better.com – Best no-fee lender

Better.com offers purchase and refinancing options in 15- 20- and 30-year terms. The lender ranks highly on Bankrate’s lists of best mortgage lenders overall, best online lenders and best lenders for refinancing and cash-out refinancing.

Strengths: If you’re looking to refinance to a 15-year mortgage or other loan, you can get started in seconds through Better.com’s website, which allows you to check rates and compare costs. Notably, the lender doesn’t charge any fees, unlike some other online lenders.

Weaknesses: Better.com doesn’t offer VA or USDA loans, and if you’d prefer support in-person, you might be better off with a brick-and-mortar lender.

Read Bankrate's Better.com mortgage review

Cardinal Financial Company – Best for low-credit score borrowers

Cardinal Financial Company, which also runs Sebonic Financial, offers not only FHA, VA, and USDA loans but also both rate-and-term as well as cash-out refinancing.

Strengths: If you’re someone with a lower credit score then a FHA loan by Cardinal Financial may be a compatible fit. The lender has a credit score requirement as low as 550 for a FHA loan as well as a 3.5 percent down payment.

Cardinal Financial’s proprietary Octane system can help you stay organized throughout the refi process, offering a to-do list outlining the documents you need and allowing you to e-sign where possible. The lender can accept credit scores as low as 620 for a conventional loan, 660 for a jumbo loan, 580 for FHA and USDA loans and 550 for a VA loan.

Weaknesses: There are no rates or breakdowns of fees on Cardinal Financial’s website; you’ll need to consult with a loan officer first.

Read Bankrate's Cardinal Financial Company mortgage review

Sage Mortgage – Best broker

Sage Mortgage is an online mortgage broker licensed in 18 states. The broker goes by the corporate name Forward Mortgage Lending and is owned by Bankrate parent company Red Ventures.

Strengths: Sage Mortgage is a one-stop shop for borrowers looking to refinance into a 15-year mortgage or other loan, offering custom rate quotes in just 60 seconds and the ability to apply, attach documents and finalize your loan selection all online.

Weaknesses: Sage Mortgage does not connect borrowers with VA loans, HELOCs or home equity loans, and it’s not available in every state at this time.

Read Bankrate's Sage Mortgage review

Interfirst Mortgage Company – Best online lender

Interfirst Mortgage Company, whose corporate name is Chicago Mortgage Solutions LLC, is a lender licensed in 24 states and Washington, D.C. The lender has originated over $36 billion in mortgages to date.

Strengths: You can begin the process of obtaining refinance rates through Interfirst Mortgage Company online — and, if you need more time to gather information, you can save your application easily to come back to pending tasks.

Weaknesses: Interfirst Mortgage Company doesn’t operate in every state, and you’ll need to wait for the lender to contact you after you provide preliminary info online.

Read Bankrate's Interfirst Mortgage Company user reviews

AmeriSave Mortgage Corporation – Best non-bank lender

AmeriSave Mortgage Corporation is an online mortgage lender licensed in every state except New York. It has earned a spot as one of Bankrate’s top mortgage lenders and best FHA lenders this year.

Strengths: Like other lenders, AmeriSave Mortgage Corporation offers both rate-and-term and cash out refinancing, with a fast prequalification process. The lender also offers a Rate Match Guarantee, which either matches a competitor’s rate or pays you $500.

Weaknesses: The lender charges a $500 application fee.

Read Bankrate's AmeriSave Mortgage Corporation review

What is a 15-year fixed-rate refinance mortgage?

Refinancing to a 15-year fixed-rate mortgage can save you money over the long term in two ways. Lenders charge lower interest rates on shorter-term mortgages, reflecting their lower level of risk in extending the loan compared with a typical 30-year loan. Also, since you’re borrowing the money for half as long, you’ll often save tens of thousands of dollars in interest over the life of the mortgage.

However, with a 15-year loan, you’ll have a higher monthly payment. If you can afford the larger payments, refinancing to a 15-year loan can help you reach homeownership sooner while saving you a bundle on interest.

When to consider a 15-year refinance

If you currently have a 30-year mortgage and have room in your budget for a higher monthly mortgage payment, refinancing to a 15-year fixed-rate loan can make good financial sense. You’ll still have the stability of knowing that the monthly payment won’t change, while getting the benefit of a lower interest rate. Plus, you’ll pay off your home faster, freeing up money for other financial goals like saving for retirement when you do. Keep in mind that you need to show the lender that you have enough income to cover a higher payment in order to qualify for the new loan.

On the other hand, if your main goal is to achieve the lowest possible payment, you're better off refinancing to a 20- or 30-year mortgage. While starting fresh with a new long-term loan isn’t the right tactic for everyone, it is an option, especially if you need to trim monthly expenses.

Pros and cons of a 15-year mortgage refinance

Advantages of a 15-year mortgage refinance:

• You’ll fully own your home sooner.
• You’ll save a lot on interest, especially if rates have fallen since you bought the home.
• A larger portion of your monthly payments will go toward the loan principal rather than interest.

Disadvantages of a 15-year mortgage refinance:

• Higher monthly payments compared to longer-term loans due to the shorter repayment period.
• The opportunity cost of tying up money in home equity instead of other financial goals.
• The potential loss of mortgage interest tax breaks due to paying less interest.

Not sure whether to commit to the higher monthly payments? You can mimic the effect of refinancing to a 15-year loan by simply making extra payments on your existing 30-year loan. You’ll pay less interest and shorten the pay off time while still keeping some wiggle room. Should a financial emergency arise, you can revert to your original, lower payment amount for that month, or as long as you need to, without incurring any penalties.

Deciding between a 15-year refi and increasing payments on your existing loan? You can use our Additional Mortgage Payment Calculator to see how extra payments will shorten your pay-off time and lower your interest costs.

When is the best time to refinance into a 15-year mortgage?

When you’ve gotten a raise or two. Say you took a 30-year mortgage five years ago, but your income has risen considerably since then. In that case, it could make sense to refinance into a 15-year loan. Your payments will be higher compared to a 30-year loan, but your higher income will allow you to absorb the new cost and pay down your loan in half the time.

When the monthly payments on a 15-year mortgage won’t be much higher than you’re already paying. This can be especially compelling if your credit score has improved significantly. Say you haven’t refinanced that 30-year loan you took during the rate spike of 2018. Here’s a scenario: If you borrowed $300,000 at 6 percent interest, your monthly payment is $1,799. Rolling the $300,000 balance into a 15-year loan at 2.5 percent would mean a monthly payment of $2,000.

When you're halfway into a 30-year mortgage. Granted, not many people keep loans this long. But in this case, the time could be right for refinancing to a 15-year loan. For one thing, your rate is much higher than you’d pay today. For another, you’ll have a lower principal balance after all those years of repayment.

How to get the best rate

Shopping around is the single most important step you can take before you commit to a mortgage. Rates and closing costs can vary from lender to lender. For ideas, see our reviews of best overall mortgage lenders and best online mortgage lenders. Keep in mind that your credit score is the biggest factor in determining your rate. The best deals go to borrowers with credit scores of 740 or higher. Other considerations include your income and how much you’re putting down or, in the case of a refinance, how much equity you have in the house.

Alternatives to a 15-year refinance

Try a different term. The 30-year and 15-year terms get all the attention, but they’re not the only games in town. A 20-year mortgage speeds up your repayment rate without bumping your payment as dramatically as a 15-year amortization. If you really want to retire that debt, try a 10-year term.

Keep your 30-year loan but make extra payments. Closing costs are a downside to refinancing. If you want to avoid the costs and hassle of a refi, you could keep your 30-year mortgage but speed up your payments. You could put a little more toward the principal each month. Or you could set up automated biweekly payments. This strategy means you essentially make an extra monthly payment over the course of a year. In either scenario, you’ll pay down your principal faster and reach the finish line before 30 years. Make sure to check with your lender that your biweekly payments are being applied correctly.

When to refinance to a 15-year fixed-rate loan from an adjustable-rate mortgage (ARM)

Some people choose an ARM when they purchase their home, perhaps because they didn’t plan to stay in the home for long or needed a low monthly payment to get settled. Priorities can change over time, though. Refinancing to a 15-year fixed-rate loan from your current adjustable-rate mortgage could provide you with stability, predictability and significant savings.

For example, with a 5/1 ARM, the interest rate would reset after five years. That means if the market rate rises, your interest rate and monthly payment would also rise. Since most experts don’t expect mortgage rates to drop significantly from current levels, it could be a good time to refinance to a fixed-rate loan, eliminating the uncertainty and the risk of a rate increase. Choosing a 15-year repayment period would also lower your interest costs and shorten the time to full homeownership.

How much can you potentially save by refinancing?

Refinancing comes with closing costs, just like original mortgages. Closing costs vary, but they can be 2 to 5 percent of the loan amount. On a $100,000 refinance, closing costs of 3 percent would be $3,000 — not an insignificant sum.

You should try to negotiate with your lender to see if the fees can be lowered. The lender may offer to let you fold the closing costs into the loan, so you don’t have to come up with the cash upfront. But that means you’ll also be paying interest on the extra amount. Instead, ask whether the lender would be willing to waive part of the closing costs, such as the application fee or credit check fee. Particularly if you are a repeat customer, you might be able to work out a better deal.

Since the goal of refinancing is saving money, you’ll want to calculate how long it will take you to break even on the closing costs and start realizing actual savings. Our refinance calculator helps you quickly figure how long it will take you to recoup closing costs so you can decide if refinancing is worthwhile.