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Refi rates on July 30, 2021: Rate ticks higher



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In general, refinance rates for mortgages were varied Friday with one notable rate advancing. The average rate nationwide for a 15-year fixed refinance decreased, while 30-year fixed-rate refinances saw growth. At the same time, average rates for 10-year fixed refinances were stable. Refinance interest rates are never set in stone — but rates have been historically low. If you plan to refinance your house, now might be a great time to secure a good rate. But as always, make sure to first take into account your personal goals and circumstances before getting a refinance, and shop around to find a lender who can best meet your needs.

Read moreConsidering a mortgage refinance? Rates may be going even lower

30-year fixed refinance rates

For 30-year fixed refinances, the average rate is currently at 3.00%, an increase of 1 basis point from what we saw one week ago. (A basis point is equivalent to 0.01%.) A 30-year fixed refinance will typically have lower monthly payments than a 15- or 10-year refinance. If you’re having difficulties making your monthly payments, a 30-year refinance could be a good option for you. In exchange for the lower monthly payments though, rates for a 30-year refinance will typically be higher than 15- and 10-year refinance rates. You’ll also pay off your loan slower.

15-year fixed-rate refinance

The average rate for a 15-year fixed refinance loan is currently 2.29%, a decrease of 1 basis point compared to one week ago. With a 15-year fixed refinance, you’ll have a larger monthly payment than a 30-year loan. On the other hand, you’ll save money on interest, since you’ll pay off the loan sooner. Fifteen-year refinance rates are typically lower than 30-year refinance rates, which will 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 2.31%, unmoved over last 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 be a good deal, since paying off your house sooner will help you save on interest in the long run. Just be sure to carefully consider your budget and current financial situation to make sure that you can afford a higher monthly payment.

Where rates are headed

We track refinance rate trends using data collected by Bankrate, which is owned by CNET’s parent company. Here’s a table with the average refinance rates provided by lenders across the US:

Average refinance interest rates

Product Rate Last week Change
30-year fixed refi 3.00% 2.99% +0.01
15-year fixed refi 2.29% 2.30% -0.01
10-year fixed refi 2.31% 2.31% N/C

Rates as of July 30, 2021.

How to find personalized 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. Market conditions aren’t the only factor in interest rates; your particular application and credit history will also play a large role.

Having a high credit score, a low credit utilization ratio and a history of consistent and on-time payments will generally help you get the best interest rates. To get your personalized refinance rates, you’ll need to speak with a mortgage professional, as the rates you qualify for may differ from the rates advertised online. And don’t forget about fees and closing costs, which may cost a hefty amount upfront.

You should also know that many lenders have had stricter requirements when it comes to approving loans in the past few months. If you have a low credit score or a poor credit history, you might have trouble getting a refinance at the lowest interest rates.

To get the best refinance rates, you’ll first want to make your application as strong as possible. If you haven’t already, try to improve your credit by monitoring your credit reports, using credit responsibly and managing your finances carefully. Don’t forget to speak with multiple lenders and shop around to find the best rate.

Read moreCredit scores: Everything you need to know

Is now a good time to refinance?

Most people refinance because the market interest rates are lower than their current rates or because they want to change their loan term. While interest rates have been low in the past few months, you should look at more than just the market interest rates when deciding if a refinance is right for you.

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. Also keep in mind that closing costs and other fees may require an upfront investment.

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 can be a great move if you get a good rate or can pay off your loan sooner — but consider carefully whether it’s the right choice for you.



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