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Published: May 07, 2022 11 min read
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After a week that saw rates seesawing, the average rate for a 30-year fixed-rate mortgage ended the week at 5.939%, 0.17 percentage points lower than last week's ending rate.

Mortgage rates are expected to continue rising, although at what pace is unsure. Borrowers planning on a home purchase this year should work on their credit to improve their chances of qualifying for a lower rate.

  • The latest rate on a 30-year fixed-rate mortgage is 5.939%. ⇓
  • The latest rate on a 15-year fixed-rate mortgage is 4.976%. ⇓
  • The latest rate on a 5/1 ARM is 4.375%. ⇓
  • The latest rate on a 7/1 ARM is 4.542%. ⇓
  • The latest rate on a 10/1 ARM is 4.687%. ⇓

Money's daily mortgage rates are a national average and reflect what a borrower with a 20% down payment and a 700 credit score — roughly the national average score — might pay if he or she applied for a home loan right now. Each day's rates are based on the average rate 8,000 lenders offered to applicants the previous business day. Freddie Mac's weekly rates will generally be lower since they measure rates offered to borrowers with higher credit scores. Your individual rate will vary depending on your location, lender and financial details.

Looking for a loan? Check out Money's lists of the best mortgage lenders and best refinance lenders.

Today's 30-year fixed-rate mortgage rates

  • The 30-year rate is 5.939%.
  • That's a one-day decrease of 0.16 percentage points.
  • That's a one-month increase of 0.319 percentage points.

The long payback time and fixed interest rate of a 30-year mortgage result in lower monthly payments that won't change over the life of the loan. The trade-off is that the total borrowing costs will be higher compared to a shorter-term loan because you'll pay a higher interest rate for a longer period of time.

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Average Mortgage Rates
Data based on US mortgage loans closed on May 5, 2022
Loan TypeMay 5Last WeekChange
15 Year Fixed Conventional4.98%4.87%0.11%
30 Year Fixed Conventional5.94%6.01%0.07%
7/6 ARM Rate6.11%6.1%0.01%
10/6 ARM Rate6.24%6.15%0.09%
Your actual rate may vary
Find your actual rate at Quicken Loans.
Click below to get started and see your rate today.
View Rates for November 28, 2022

Today's 15-year fixed-rate mortgage rates

  • The 15-year rate is 4.976%.
  • That's a one-day decrease of 0.095 percentage points.
  • That's a one-month decrease of 0.055 percentage points.

A 15-year fixed-rate mortgage will have a lower interest rate compared to a 30-year loan. Because you'll pay that lower rate for half the time, your overall borrowing costs will be lower than with an equivalent 30-year in the long run. However, it's not as economical an option on a monthly basis. You have to pay the loan back in less time, so your monthly payments will be quite a bit higher than on a 30-year loan.

Use a mortgage calculator to determine which option is best for you.

The latest rates on adjustable-rate mortgages

  • The latest rate on a 5/1 ARM is 4.375%. ⇓
  • The latest rate on a 7/1 ARM is 4.542%. ⇓
  • The latest rate on a 10/1 ARM is 4.687%. ⇓

An adjustable-rate mortgage will start out with a low, fixed interest rate for an introductory period. Once the fixed-rate period ends, the rate becomes variable and resets periodically according to market conditions. For example, a 5/1 ARM will have a fixed rate for five years which will adjust yearly once it becomes variable.

Some borrowers are attracted to ARMs because the introductory rate tends to be lower compared to other loan types. The potential drawback is that the rate could increase substantially after it starts adjusting.

The latest VA, FHA and jumbo loan rates

The average rates for FHA, VA and jumbo loans are:

  • The rate on a 30-year FHA mortgage is 5.585%. ⇓
  • The rate on a 30-year VA mortgage is 5.486%. ⇓
  • The rate on a 30-year jumbo mortgage is 5.184%. ⇓

The latest mortgage refinance rates

The average refinance rates for 30-year loans, 15-year loans and ARMs are:

  • The refinance rate on a 30-year fixed-rate refinance is 6.262%. ⇓
  • The refinance rate on a 15-year fixed-rate refinance is 5.215%. ⇓
  • The refinance rate on a 5/1 ARM is 4.695%. ⇓
  • The refinance rate on a 7/1 ARM is 4.882%. ⇓
  • The refinance rate on a 10/1 ARM is 5.193%. ⇓
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Average Mortgage Refinance Rates
Data based on US mortgage loans closed on May 5, 2022
Loan TypeMay 5Last WeekChange
15 Year Fixed Conventional5.22%5.03%0.19%
30 Year Fixed Conventional6.26%6.21%0.05%
7/6 ARM Rate6.15%5.98%0.17%
10/6 ARM Rate6.54%6.28%0.26%
Your actual rate may vary
Find your actual rate at Quicken Loans.
Click below to get started and see your rate today.
View Rates for November 28, 2022

Where are mortgage rates heading this year?

Mortgage rates sank through 2020. Millions of homeowners responded to low mortgage rates by refinancing existing loans and taking out new ones. Many people bought homes they may not have been able to afford if rates were higher. In January 2021, rates briefly dropped to the lowest levels on record, but trended slightly higher through the rest of the year.

Looking ahead, experts believe interest rates will rise more in 2022, but also modestly. Factors that could influence rates include continued economic improvement and more gains in the labor market. The Federal Reserve has also begun tapering its purchase of mortgage-backed securities and raised the federal funds rate for the first time in March to combat rising inflation. The Fed has signaled six more hikes are likely this year.

While mortgage rates are likely to rise, experts say the increase won’t happen overnight and it won’t be a dramatic jump. Rates should stay near historically low levels through the first half of the year, rising slightly later in the year. Even with rising rates, it will still be a favorable time to finance a new home or refinance a mortgage.

Factors that influence mortgage rates include:

  • The Federal Reserve. The Fed took swift action when the pandemic hit the United States in March of 2020. The Fed announced plans to keep money moving through the economy by dropping the short-term Federal Fund interest rate to between 0% and 0.25%, which is as low as they go. The central bank also pledged to buy mortgage-backed securities and treasuries, propping up the housing finance market but began cutting back those purchases in November.
  • The 10-year Treasury note. Mortgage rates move in lockstep with the yields on the government’s 10-year Treasury note. Yields dropped below 1% for the first time in March 2020 and have been rising since then. On average, there is typically a 1.8 point “spread” between Treasury yields and benchmark mortgage rates.
  • The broader economy. Unemployment rates and changes in gross domestic product are important indicators of the overall health of the economy. When employment and GDP growth are low, it means the economy is weak, which can push interest rates down. Thanks to the pandemic, unemployment levels reached all-time highs early last year and have not yet recovered. GDP also took a hit, and while it has bounced back somewhat, there is still a lot of room for improvement.

Tips for getting the lowest mortgage rate possible

There is no universal mortgage rate that all borrowers receive. Qualifying for the lowest mortgage rates takes a little bit of work and will depend on both personal financial factors and market conditions.

Check your credit score and credit report. Errors or other red flags may be dragging your credit score down. Borrowers with the highest credit scores are the ones who will get the best rates, so checking your credit report before you start the house-hunting process is key. Taking steps to fix errors will help you raise your score. If you have high credit card balances, paying them down can also provide a quick boost.

Save up money for a sizeable down payment. This will lower your loan-to-value ratio, which means how much of the home’s price the lender has to finance. A lower LTV usually translates to a lower mortgage rate. Lenders also like to see money that has been saved in an account for at least 60 days. It tells the lender you have the money to finance the home purchase.

Shop around for the best rate. Don’t settle for the first interest rate that a lender offers you. Check with at least three different lenders to see who offers the lowest interest. Also consider different types of lenders, such as credit unions and online lenders in addition to traditional banks.

Also, take time to find out about different loan types. While the 30-year fixed-rate mortgage is the most common type of mortgage, consider a shorter-term loan like a 15-year loan or an adjustable-rate mortgage. These types of loans often come with a lower rate than a conventional 30-year mortgage. Compare the costs of all to see which one best fits your needs and financial situation. Government loans — such as those backed by the Federal Housing Authority, the Department of Veterans Affairs and the Department of Agriculture — can be more affordable options for those who qualify.

Finally, lock in your rate. Locking your rate once you’ve found the right rate, loan product and lender will help guarantee your mortgage rate won’t increase before you close on the loan.

Our mortgage rate methodology

Money’s daily mortgage rates show the average rate offered by over 8,000 lenders across the United States the most recent business day rates are available. Today, we are showing rates for Thursday, May 5, 2022. Our rates reflect what a typical borrower with a 700 credit score might expect to pay for a home loan right now. These rates were offered to people putting 20% down and include discount points.

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