Today’s Mortgage Rates: October 17, 2022—Rates Keep Climbing

Today’s Mortgage Rates: October 17, 2022—rates Keep Climbing
Getty

Today’s average rate on a 30-year fixed mortgage is 7.24%, up 0.19% from the previous week.

Borrowers may be able to save on interest costs by going with a 15-year fixed mortgage, as they generally have a lower rate than that of a 30-year, fixed-rate home loan. The average rate on a 15-year fixed mortgage is 6.47%. But keep in mind that you’ll have higher monthly payments since you’re paying off your loan in half the time (15 years versus 30 years).

If you want to refinance your existing mortgage, check out the latest mortgage refinance rates.

Related: Compare Current Mortgage Rates

Mortgage Rates for October 17, 2022

30-Year Fixed Mortgage Rates

The average rate for the benchmark 30-year fixed-rate mortgage inched up to 7.24% from 7.21% yesterday. Last week, the 30-year fixed was 7.05%. The 52-week high is 7.24%.

The 30-year fixed mortgage APR is 7.26%. At this time last week, it was 7.06%. Here’s why APR is important.

At today’s interest rate of 7.24%, borrowers with a 30-year fixed-rate mortgage of $100,000 will pay $682 per month in principal and interest (taxes and fees not included), the Forbes Advisor mortgage calculator shows. You’d pay around $145,339 in total interest over the life of the loan.

15-Year Mortgage Interest Rates

The average interest rate on the 15-year fixed mortgage is 6.47%. This same time last week, the 15-year fixed-rate mortgage was at 6.24%. Today’s rate is higher than the 52-week low of 4.76%.

The APR on a 15-year fixed is 6.51%. It was 6.28% this time last week.

With an interest rate of 6.47%, you would pay $869 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you would pay $56,503 in total interest.

Jumbo Mortgage Rates

The current average interest rate on a 30-year fixed-rate jumbo mortgage is 7.27%. Last week, the average rate was 7.08%. Over the past year, the rate on a 30-year jumbo mortgage has been as high as 7.27% and as low as 5.41%.

If you lock in today’s rate of 7.08% on a 30-year, fixed-rate jumbo mortgage, you will pay $684 per month in principal and interest per $100,000 in financing. That means that on a $750,000 loan, the monthly principal and interest payment would be around $5,127, and you’d pay around $1,095,540 in total interest over the life of the loan.

5/1 ARM Interest Rates

Currently, the average interest rate on a 5/1 ARM is 5.38%, up from the 52-week low of 4.16%. Last week, the average rate was 5.34%.

Borrowers with a 5/1 ARM of $100,000 with today’s interest rate of 5.38% will spend $560 per month in principal and interest.

Where Are Mortgage Rates Headed This Year?

Mortgage rates have increased this year, and many experts expect rates will rise further. Forecasts range from about 5.5% by the end of 2022 to as high as 7%. As always, it pays to shop around and be ready to lock in a rate if you find one that seems competitively low.

What’s an APR, and Why Is It Important?

The annual percentage rate, or APR, encompasses the mortgage interest rate and lender fees over the total life of the loan. It’s important because it can give homebuyers a more complete picture of total costs, not just the interest rate.

Comparing APR among lenders is a better way to see overall costs because it will show you everything from interest rate to fees.

More from Forbes Advisor