Compare current 20-year refinance rates

Written by

On Friday, February 03, 2023, the national average 20-year fixed refinance APR is 6.34%. The average 20-year fixed mortgage APR is 6.34%, according to Bankrate's latest survey of the nation's largest refinance lenders.

At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here's an explanation for how we make money.

Our weekly rates vs. the national average
Today’s 20-year refinance rates
Pros and cons of a 20-year refinance
Comparing a 20-year mortgage refinance to other loan types
Is a 20-year mortgage refinance right for me?
20-year refinance FAQs

About our Mortgage Rate Tables: The above mortgage loan information is provided to, or obtained by, Bankrate. Some lenders provide their mortgage loan terms to Bankrate for advertising purposes and Bankrate receives compensation from those advertisers (our "Advertisers"). Other lenders' terms are gathered by Bankrate through its own research of available mortgage loan terms and that information is displayed in our rate table for applicable criteria. In the above table, an Advertiser listing can be identified and distinguished from other listings because it includes a "Next" button that can be used to click-through to the Advertiser's own website or a phone number for the Advertiser.

Availability of Advertised Terms: Each Advertiser is responsible for the accuracy and availability of its own advertised terms. Bankrate cannot guaranty the accuracy or availability of any loan term shown above. However, Bankrate attempts to verify the accuracy and availability of the advertised terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. Click here for rate criteria by loan product.

Loan Terms for Bankrate.com Customers: Advertisers may have different loan terms on their own website from those advertised through Bankrate.com. To receive the Bankrate.com rate, you must identify yourself to the Advertiser as a Bankrate.com customer. This will typically be done by phone so you should look for the Advertisers phone number when you click-through to their website. In addition, credit unions may require membership.

Loans Above $726,200 May Have Different Loan Terms: If you are seeking a loan for more than $726,200, lenders in certain locations may be able to provide terms that are different from those shown in the table above. You should confirm your terms with the lender for your requested loan amount.

Taxes and Insurance Excluded from Loan Terms: The loan terms (APR and Payment examples) shown above do not include amounts for taxes or insurance premiums. Your monthly payment amount will be greater if taxes and insurance premiums are included.

Consumer Satisfaction: If you have used Bankrate.com and have not received the advertised loan terms or otherwise been dissatisfied with your experience with any Advertiser, we want to hear from you. Please click here to provide your comments to Bankrate Quality Control.

Weekly national mortgage rate trends

Current refinance rates

	20 year fixed refinance	6.39%
	10 year fixed refinance	5.72%
	30 year fixed refinance	6.41%

Today's 20-year refinance rates

Lenders nationwide provide weekday mortgage rates to our comprehensive national survey to bring you the most current rates available. Here you can see the latest marketplace average rates for a wide variety of refinance loans. The interest rate table below is updated daily to give you the most current refinance rates when choosing a home loan. APRs and rates are based on no existing relationship or automatic payments. For these averages, the customer profile includes a 740 FICO score and a single-family residence. To learn more, see understanding Bankrate rate averages.

Product	Interest Rate	APR
20-Year Fixed	6.32%	6.34%
10-Year Fixed	5.63%	5.65%
15-Year Fixed	5.58%	5.60%
30-Year Fixed	6.38%	6.40%

Rates as of Friday, February 03, 2023 at 6:30 AM

Pros and cons of a 20-year fixed-rate refinance

Pros

Paid off faster than a traditional 30-year mortgage. Since you'll have a shorter time frame than a 30-year mortgage, you'll have that mortgage paid off sooner — 10 years faster, to be exact. That means one fewer thing to worry about, and it will free up a large chunk of change to be used for other expenses and money goals.
Generally have a lower interest rate than longer-term loans. Typically, the shorter the term, the lower the interest rate. Interest rates for a 20-year mortgage will have a lower interest rate than a 30-year mortgage.
Less interest paid over the life of the loan than a 30-year mortgage. Because the interest rate is lower on a 20-year mortgage, you'll not only have your home loan paid off sooner, but you'll be forking over less in interest over the duration of the loan.
More affordable than shorter-term loans like 10- or 15-year mortgages. Because the life of the loan is stretched out for a longer duration than a 10 or 15-year mortgage, your loan payments will be lower. In turn, a 20-year mortgage will be more affordable.

Cons

Higher monthly payments than a 30-year mortgage. While the monthly payments for a 20-year mortgage are smaller than a 10- or 15-year mortgage, you can expect to pay more for a 30-year mortgage. In turn, it's less affordable as you'll need to pour more cash into paying off your house each month.
More interest paid over the life of the loan than a shorter mortgage. You'll be paying more in interest fees on a 20-year mortgage than if you had a 10- or 15-year mortgage, which means it'll be more expensive.

Comparing a 20-year mortgage refinance to other loan types

While a 20-year mortgage means you'll pay off your loan faster than a 30-year mortgage, it also means you'll have higher monthly payments. However, the lower monthly payments that come with a 30-year mortgage means you can borrow a larger amount.

Even if the total you'd like to borrow would be the same for a 20-year mortgage, you might have an easier time qualifying for a longer-term loan because of the difference in monthly payments.

When stacking a 20-year mortgage against a 10- or 15-year mortgage, it will take you longer to pay off the 20-year mortgage, but the monthly payments will be more affordable.

20-year vs. 15-year vs. 30-year mortgage interest and payments

	15-year fixed-rate mortgage	20-year fixed-rate mortgage	30-year fixed-rate mortgage
Loan principal	$312,900	$312,900	$312,900
Interest rate	4.19%	5.51%	5.53%
Monthly payment	$2,344	$2,154	$1,783
Total interest	$109,090	$204,100	$328,802
Total payments	$421,990	$517,000	$641,702

*Notes: Interest rates as of August 15, 2022; monthly payments do not include insurance or taxes.

Is a 20-year mortgage refinance right for me?

Refinancing into a 20-year mortgage could make sense for you if:

You already have a 10- or 15-year mortgage and are struggling to meet the monthly payments. Taking out a new loan with a longer repayment period could free up some cash in your budget.
You have an adjustable-rate mortgage (ARM) nearing the end of its initial term. A 20-year fixed mortgage will give you more stability, since your rate won’t change for the lifetime of the loan.
You can afford the cost of the new loan. It’s important to look closely at your household income and whether your mortgage plus additional housing expenses — think homeowners insurance and utilities — can fit your new payment into your current budget comfortably.

Keep in mind: You can pay off any mortgage loan at any pace you want. However, you'll need to make the minimum payment. By making extra principal payments each month (check with your lender on how this is done) you can turn a 30-year loan into a 20-year, a 15-year or a 10-year mortgage. This way if you need extra cash, you can skip the additional principal payment any month you like.

When considering a refinance, it’s also a good idea to explore different kinds of loans and loan terms to determine what’s best for you and your budget. Refinancing into a conventional fixed-rate loan from an FHA loan could mean significant savings since these government-insured loans usually have costly insurance premiums.

Other loans such as a VA home loan or ARM (adjustable rate mortgage) don’t usually have these same insurance costs, but refinancing can still make sense for borrowers who can get a low enough rate to quickly offset their refinancing costs.

20-year refinance FAQs

A 20-year mortgage refinance is a loan that allows you to refinance your existing mortgage. You'll pay off the balance of your home loan over the course of two decades. A fixed-rate 20-year refinance mortgage has a stable interest rate.
Comparing 20-year mortgage rates across different lenders, you can see what rates, terms, and loan amounts you qualify for. In turn, you can snag the 20-year mortgage rates with the lowest interest rates, flexible repayment terms by comparing quotes from lenders.
While you might be able to get approved for a 20-year mortgage refinance with a low credit score, to get the best interest rate possible, you'll need a strong score. Also, be prepared to provide the lender documents such as tax returns from the last two years, recent pay stubs, bank statements, statements from retirement and other brokerage accounts.
The right time to refinance depends on your financial situation and whether the savings are significant enough to be worth it.

Before applying, check your credit score and account for your overall financial health. Depending on your situation, you might qualify for a lower interest rate, which will help you save more each month.

Learn more about refinancing

Written by: Zach Wichter, mortgage reporter for Bankrate

Zach Wichter is a mortgage reporter at Bankrate. He previously worked on the Business desk at The New York Times where he won a Loeb Award for breaking news, and covered aviation for The Points Guy.