Current Mortgage Rates, March 26, 2021 | Rates Have Retreated

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A few key mortgage rates decreased today. The averages for both 30-year fixed and 15-year fixed mortgages were slashed. The most common type of variable-rate mortgage is the 5/1 adjustable-rate mortgage (ARM) ticked up.

Mortgage rates currently are:

Today’s Mortgage Refinance Rates

There’s good news if you’ve been considering a refinance, because the mean rates for 15-year fixed and 30-year fixed refinance loans went down. If you’ve been considering a 10-year refinance loan, just know average rates also decreased.

Today’s refinance rates are:

Compare national home loan rates from various lenders .

30-Year Fixed-Rate Mortgages

The median interest rate for a standard, 30-year, fixed mortgage is 3.23%, which is a decrease of 9 basis points from last week.

You can use NextAdvisor’s mortgage payment calculator to get an idea of what your monthly payments will be and play around with extra mortgage payments to wrap your head around how much you could save. The mortgage calculator can also show you all of the interest you’ll pay over the life of the loan

15-Year Fixed-Rate Mortgages

The median rate for a 15-year fixed mortgage is 2.47%, which is a decrease of 5 basis points from the same time last week.

A 15-year, fixed-rate mortgage’s monthly payment is larger and will put more stress on your monthly budget than a 30-year mortgage would. However, 15-year loans have some considerable benefits: You’ll pay thousands less in interest and pay off your loan much sooner.

5/1 Adjustable-Rate Mortgages

A 5/1 ARM has an average rate of 3.14%, which is a climb of 2 basis points compared to last week.

An adjustable-rate mortgage is ideal for individuals who will sell or refinance before the rate changes. If that’s not the case, their interest rates could end up being significantly higher after a rate adjusts.

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For the first five years, a 5/1 ARM will typically have a lower interest rate compared to a 30-year fixed mortgage. Just keep in mind that depending on how much your loan’s rate adjusts, your payment has the potential to increase by a large amount.

Recent Mortgage Rate Movement

To see where mortgage rates are headed, we rely on information collected by Bankrate, which is owned by the same parent company as NextAdvisor. Looking at the history of mortgage rates, we’re in the middle of a period of unprecedented low rates. This table has current average rates based on information provided to Bankrate by lenders from across the nation:

Rates accurate as of March 26, 2021.

There isn’t a single factor that causes mortgage rates to move, but rather there are many. Chief among them are things including inflation and even the unemployment rate. When you see inflation increasing, that usually means mortgage rates are about to climb higher. On the other hand, lower inflation typically accompanies lower mortgage rates. With higher inflation, the dollar becomes less valuable. This scenario pushes buyers away from mortgage-backed securities, which leads to price decreases and the need for increasing yields. And higher yields require borrowers to pay higher interest rates.

The demand for housing can also impact mortgage rates. If more people are buying homes, there is a greater need for mortgages. This type of demand can drive interest rates up. And if there is less demand for mortgages, that can cause a decline in mortgage rates.

What Is in the Future for Mortgage Rates?

Recently, mortgage rates have risen sharply and crossed 3% – a level we haven’t seen since last summer. Even with this dramatic increase, rates are near or still below the levels many experts expected mortgage rates to be at in 2021.

How we deal with coronavirus, and its impact on the economy, will greatly impact rates. As the economy recovers, we should see inflation rise, which will put upward pressure on mortgage rates. However, the Federal Reserve has expressed its desire to aid the recovery by keeping rates low beyond 2021. So it’s likely we’llsee historically low rates for the foreseeable future.

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This Month’s Mortgage Predictions

Some experts forecast that this month mortgage rates will stabilize following weeks of strong growth.

The economy is beginning to show signs of life and investors are expecting increased inflation. This has driven 10-year Treasury bond yields up, which is a key indicator for mortgage rates. But, the Federal Reserve has expressed a desire to keep rates low. Also, some in the industry believe that fears of inflation are somewhat overblown. So don’t expect to see a massive surge in rates this month.

This Week’s Mortgage Predictions

A modest rise is what some experts are forecasting for mortgage rates this week. This would be a bit of a leveling off from previous weeks.

While there is nothing this week that should cause a spike or dramatic downturn in rates, the unexpected can happen. And currently, the economy still has a long way to go to return to its pre-pandemic level.

What Impacts the Current Mortgage Rates?

Your mortgage rate depends on a number of things. First off, your personal finances have a big influence. A higher credit score or making a bigger down payment will help you qualify for a better rate. However, not everything is in your control, many larger economic factors play a role as well:

  • Overall health of the economy
  • Federal Reserve policy decisions
  • Spending in the private and public sectors
  • 10-year U.S. Treasury yields
  • Inflation rates
  • Individual circumstances: Loan-to-value ratio, credit history, and type of mortgage

How to Get the Lowest Mortgage Rate

Shopping around for a mortgage is a great way to secure the lowest rate.

The mortgage rate you’ll qualify for depends on a number of factors lenders consider when assessing how the likelihood that you’ll be able to afford your monthly payments for the long term. Your credit score and debt-to-income ratio (DTI) are a big part of this decision. And even the property’s value compared to your mortgage balance is important. So putting more money into your down payment can reduce your interest rate.

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But banks will look at your situation differently. So you can give the same documentation to three different mortgage providers, and get offers with three different mortgage rates and fees that vary just as much.

What to Know About Recent Rate Hikes

Over the past few months, mortgage rates have been rising. Since we hit an all-time low average of 2.65% for 30-year fixed mortgages, mortgage interest rates have jumpedto 3.09%.

Rising rates can have a significant impact on your homebuying budget. The 0.44% increase we’ve experienced has increased the monthly payment on a 30-year $300,000 loan by $71 a month. But don’t expect current rates to cool off the red hot real estate market.

The demand for the exceptionally low number of homes on the market isn’t likely to be curtailed by the current mortgage rates, which are still historically favorable. So for the spring buying season, the real estate market is shaping up to be more of the same – a seller’s market.

How We Got These Rates

The rates we have included are averages provided by Site Averages and are calculated after the close of the previous business day. The lenders that the “ Site Average” tables include are not the same every day.

National lenders provide this mortgage rate information to It is possible the mortgage rates we reference has changed since this was published.

Mortgage Interest Rates by Loan Type

Home Purchase Rates

Mortgage Refinance Rates

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