• Uncategorised

Mortgage Refinance Rates on June 13, 2022: Rates Soar From Last Week

Several benchmark mortgage refinance rates moved higher today. Both 15-year fixed and 30-year fixed refinances saw their mean rates go up. In addition, the average rate on 10-year fixed refinance also increased.

Though refinance rates do fluctuate slightly on a daily basis, homeowners can expect to see rates rise over the course of this year. In recent months, rates have been trending up from historic lows seen during the pandemic, and are now closer to 2018 rate levels. That means if you’re looking to shave dollars and interest off your current monthly mortgage payments, these could be the lowest rates of 2022.

Make sure to think about your goals and circumstances, and compare offers to find a lender who can meet your needs.

30-year fixed-rate refinance

For 30-year fixed refinances, the average rate is currently at 5.75%, an increase of 33 basis points from what we saw one week ago. (A basis point is equivalent to 0.01%.) Refinancing to a 30-year fixed loan from a shorter loan term can lower your monthly payments. Because of this, a 30-year refinance can be a good idea if you’re having trouble making your monthly payments. Be aware, though, that interest rates will typically be higher compared to a 15-year or 10-year refinance, and you’ll pay off your loan at a slower rate.

15-year fixed-rate refinance

For 15-year fixed refinances, the average rate is currently at 4.92%, an increase of 28 basis points compared to one week ago.

A 15-year fixed refinance will most likely raise your monthly payment compared to a 30-year loan. But you’ll save more money over time, because you’re paying off your loan quicker. You’ll also typically get lower interest rates compared to a 30-year loan.

This can help you save even more in the long run.

10-year fixed-rate refinance

The current average interest rate for a 10-year refinance is 4.83%, an increase of 30 basis points from what we saw the previous week. A 10-year refinance will typically feature the highest monthly payment of all refinance terms, but the lowest interest rate. A 10-year refinance can help you pay off your house much faster and save on interest in the long run.

However, you should analyze your budget and current financial situation to make sure you’ll be able to afford the higher monthly payment.

Where rates are headed

At the start of the pandemic, refinance rates dropped to historic lows, but now interest rates are hovering around pre-pandemic levels. The Federal Reserve recently raised rates for the second time in 2022, and plans to increase them several more times throughout the year. Given this policy, along with strong economic growth and inflation, which reached its highest in four decades, rates are expected to keep going up this year.

While there have been some temporary dips in interest rates, it’s impossible to predict when another drop might occur. That means it’s a good idea to try to take advantage of refinancing now and lock in a decent rate. We track refinance rate trends using information collected by Bankrate, which is owned by CNET’s parent company.

Here’s a table with the average refinance rates provided by lenders nationwide:

Average refinance interest rates

Product

Rate

Last week

Change
30-year fixed refi 5.75% 5.42% +0.33
15-year fixed refi 4.92% 4.64% +0.28
10-year fixed refi 4.83% 4.53% +0.30

Rates as of June 13, 2022.

How to shop for refinance rates

When searching for refinance rates online, it’s important to remember that your specific financial situation will influence the rate you’re offered. Your interest rate will be influenced by market conditions as well as your credit history and application. To get the best interest rates, you’ll typically need a high credit score, low credit utilization ratio, and a history of making consistent and on-time payments.

Researching interest rates online is always a good idea, but you’ll need to connect with a mortgage professional to get your exact refinance rate. You should also take into account any fees and closing costs that might offset the potential savings of a refinance. It’s also worth noting that in recent months, lenders have been stricter with their requirements.

If you have a low credit score or a poor credit history, you might have trouble getting a refinance at the lowest interest rates. One way to get the best refinance rates is to strengthen your borrower application. The best way to improve your credit ratings is to get your finances in order, use credit responsibly, and monitor your credit regularly.

You should also shop around with multiple lenders and compare offers to make sure you’re getting the best rate.

When should I refinance?

In order for a refinance to make sense, you’ll generally want to get a lower interest rate than your current rate. Aside from interest rates, changing your loan term is another reason to refinance. It’s true that in the past year, interest rates have been at a historic low.

But when deciding whether to refinance, be sure to take into account other factors besides market interest rates. Make sure to consider your goals and financial situation, including how long you plan to stay in your current home. It’s helpful to have a specific goal for a refinance — such as decreasing your monthly payment or adjusting the term of your loan.

And don’t forget about fees and closing costs, which can add up. Some lenders have tightened their requirements in recent months, so you may not be able to get a refinance at the posted interest rates — or even a refinance at all — if you don’t meet their standards. Refinancing at a lower interest rate can save you money in the long run and help you pay off your loan sooner.

But a careful cost-benefit analysis is necessary to confirm that doing so makes sense.

Tags:

choice-store listed on couponmatrix.ukhoseasons listed on couponmatrix.ukmyakka listed on couponmatrix.uksimply-health listed on couponmatrix.ukslingsby-interiors-ltd listed on couponmatrix.ukzooplus-pet-shop listed on couponmatrix.uk
choice-store listed on couponmatrix.ukWith an incredible range of luxury fashion to help your wardrobe really stand out from the crowd, Choice Store is a retailer streets ahead of its competitors. Pick up a Choice Store discount code and get your hands on some game-changing fashion at prices that won’t break the bank. With some truly iconic brands on offer such as Stone Island and Ralph Lauren, if you’re into big names then they don’t get much bigger than at Choice Store.
hoseasons listed on couponmatrix.ukBook somewhere serene for you and the whole family to enjoy at Hoseasons, one of the UK’s leading suppliers of self-catering holidays and short breaks. Whatever your preference for family fun – be it a boating holiday, a lodge with a hot tub or a quaint countryside cottage – use a Hoseasons discount code to make fresh memories for a fraction of the price. With last-minute holiday options, seasonal discounts and a wealth of locations spread across to pick between, there’s fun to be had at every corner of the country with Hoseasons.
myakka listed on couponmatrix.ukGet beautiful, Indian-inspired furniture from Myakka. The handcrafted pieces have good design and functional use at the heart, so they’re a perfect addition to any home. With your Myakka discount code, you can now bring home your favourite items without breaking the bank, from lighting and rugs, to tables and chairs. Don’t settle for boring decor, transform your home into the paradise you’ve always dreamt of with the stunning selection from Myakka.
simply-health listed on couponmatrix.ukHealth-related services can be a real drain on one’s finances, whether its trips to a physiotherapist, a chiropractor or a dentist, which is where Simplyhealth comes into the picture. Offering competitive cash plans to give you some of your money back on these services, get a plan in place today with a Simplyhealth voucher code and keep yourself and your bank balance in tip-top shape. Also discover large-scale health plan options for businesses and intermediaries, making Simplyhealth applicable to both workplaces and individuals.
slingsby-interiors-ltd listed on couponmatrix.ukSlingsby is a UK based company that sells office commercial and industrial workplace materials. They offer a wide range of products at competitive prices, including anything from ladders and storage cupboards to PPE and office supplies. Use a Slingsby discount code to get the best deals on essential provisions for your workplace. So regardless of if you’re beginning a new start-up or expanding your business to new locations, you’ll find all you need to succeed with Slingsby. If you're looking for a great deal on office supplies, then you need to check out Slingsby. They offer a wide range of products at competitive prices, and you can use a Slingsby voucher code from Groupon to get even more savings. With our codes, you can secure savings on stationery, storage and furniture alike – so you can craft the ideal office space for a fraction of the price. One of the top-performing Slingsby products is their selection of chairs. They have a wide variety of styles to choose from, and you can use a Slingsby voucher code to get a great deal when buying in bulk. Be it a new chair for your home office or a whole selection of seats for a new warehouse, you’ll find seating solutions in all shapes, sizes and price at Slingsby.
zooplus-pet-shop listed on couponmatrix.ukIf you love animals then Zooplus is the perfect website for you. If you are looking for some toys for your furry feline friends then Zooplus have lots of things for cats. If you would like to treat your canine chum to a new collar and matching bowl then Zooplus have some great items for dogs. If critters with paws and fur aren't your thing then there is no need to worry as with a Zooplus discount code you'll even find fantastic products for avid aquarium keepers. Whatever animal has a special place in your heart Zooplus carry plenty of great products so you can give them all the care and attention they need.