Today’s 15-year refinance rates

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Today's national 15-year refinance rate trends

For today, Tuesday, August 16, 2022, the national average 15-year fixed refinance APR is 4.820%, up compared to last week’s of 4.800%. The national average 15-year fixed mortgage APR is 4.890%, up compared to last week’s of 4.850%.

Whether you're buying or refinancing, Bankrate often has offers well below the national average to help you finance your home for less. Compare rates here, then click "Next" to get started in finding your personalized quotes.

We’ve determined the national averages for mortgage and refinance rates from our most recent survey of the nation’s largest refinance lenders. Our own mortgage and refinance rates are calculated at the close of the business day, and include annual percentage rates and/or annual percentage yields. The rate averages tend to be volatile, and are intended to help consumers identify day-to-day movement.

Here's how it works:

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.

Product Interest Rate APR
15-Year Fixed Rate 4.870% 4.890%
15-Year Fixed-Rate Jumbo 4.900% 4.910%
30-Year Fixed Rate 5.470% 5.480%

Pros and cons of a 15-year mortgage refinance

The shorter term of a 15-year loan appeals to borrowers who want to retire their debt quickly, but they come with higher monthly payments. A breakdown:

Pros

  • 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.

Cons

  • 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 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.

>>To compare your monthly payments, check out Bankrate's 30-year vs. 15-year mortgage calculator

15-year refinance FAQs


Written by: Jeff Ostrowski, senior mortgage reporter for Bankrate

Jeff Ostrowski covers mortgages and the housing market. Before joining Bankrate in 2020, he wrote about real estate and the economy for the Palm Beach Post and the South Florida Business Journal.

Read more from Jeff Ostrowski

Reviewed by: Greg McBride, chief financial analyst for Bankrate

Greg McBride, CFA, is Senior Vice President, Chief Financial Analyst, for Bankrate.com. He leads a team responsible for researching financial products, providing analysis, and advice on personal finance to a vast consumer audience.

Read more from Greg McBride