# August 30, 2022 — Rise in Current Refinance Rates – Forbes Advisor

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The rate on a 30-year fixed refinance rose today.

The average rate on a 30-year fixed mortgage refinance is 5.96%, according to Bankrate.com, while the average rate on a 15-year mortgage refinance is 5.19%. On a 20-year mortgage refinance, the average rate is 5.97% and the average rate on a 5/1 ARM is 4.34%.

**Related:** Compare current refinance rates

## 30-Year Fixed Rate Mortgage Refinance Rate

Today, the average 30-year fixed rate mortgage refinance rate rose to 5.96% from yesterday. A week ago, the 30-year fixed was 5.85%. Today’s rate is below the 52-week high of 6.12%.

The APR, or annual percentage rate, over a 30-year period is 5.97%. This time last week it was 5.87%. The APR is the overall cost of your loan.

At an interest rate of 5.96%, a 30-year fixed mortgage would cost $597 per month in principal and interest (excluding taxes and fees) on $100,000, according to the Forbes Advisor mortgage calculator. You would pay approximately $114,913 in total interest over the life of the loan.

## 20-year refinancing rate

The average interest rate on the 20-year fixed refinance mortgage is 5.97%. Last week, the 20-year fixed rate mortgage was at 5.76%.

The APR on a 20-year fixed is 5.99%. A week ago it was 5.77%.

A $100,000 20-year fixed rate mortgage refinance with a current interest rate of 5.97% will cost $715 per month in principal and interest. Taxes and fees are not included. Over the term of the loan, you will pay approximately $71,528 in total interest.

## 15-year refinancing rate

The average interest rate on the 15-year fixed refinance mortgage increased slightly to 5.19%. Yesterday it was 5.14%. At this time last week, the 15-year fixed rate mortgage was at 5.08%. Today’s rate is above the 52-week low of 4.57%.

The annual percentage rate of charge on a 15-year fixed term is 5.21%. This time last week it was 5.10%.

At the current interest rate of 5.19%, a 15-year fixed rate mortgage would cost approximately $801 per month in principal and interest per $100,000. You would pay approximately $44,131 in total interest over the life of the loan.

## Jumbo refinance rate over 30 years

The average interest rate on the 30-year fixed rate jumbo mortgage refinance is 5.95%. A week ago, the average rate was 5.88%. The 30-year fixed rate on a jumbo mortgage is higher than the 52-week low of 5.20%.

Borrowers with a 30-year fixed rate jumbo mortgage refinance with a current interest rate of 5.95% will pay $596 per month in principal and interest per $100,000.

## 15-Year Jumbo Mortgage Refinance Rate

The average interest rate on the 15-year fixed rate jumbo mortgage refinance has risen to 5.15%. Last week, the average rate was 5.10%. The 15-year fixed rate on a jumbo mortgage is higher than the 52-week low of 4.51%.

Borrowers with a 15-year fixed rate jumbo mortgage refinance with a current interest rate of 5.15% will pay $799 per month in principal and interest per $100,000. This means that on a $750,000 loan, the monthly principal and interest payment would be approximately $5,990, and you would pay approximately $328,150 in total interest over the life of the loan.

## 5/1 ARM Refinance Rate

The average interest rate on a 5/1 ARM sits at 4.34%, above the 52-week low of 2.83%. Last week, the average rate was 5.98%.

Borrowers with a 5/1 ARM of $100,000 with a current interest rate of 4.34% will pay $497 per month in principal and interest.

## When should you refinance your home

You may want to refinance your home when you can lower your interest rate, lower your monthly payments, or pay off your mortgage sooner. You may want to use cash financing to access your home equity or take out a new loan to eliminate private mortgage insurance (PMI).

A home loan refinance can be a good idea, especially if you plan to stay in your home for a while. Even if you get a lower interest rate, you have to consider the cost of the loan. Calculate the break-even point where your savings from a lower interest rate exceeds your closing costs by dividing your closing costs by the monthly savings from your new payment.

Our Mortgage Refinance Calculator can help you determine if refinancing is right for you.

## How to Qualify for Today’s Best Refinance Rates

Just like when shopping for a mortgage when buying your home, when you refinance, here’s how you can find the lowest refinance rate:

- Maintain a good credit score
- Consider a shorter term loan
- Reduce your debt to income ratio
- Monitor mortgage rates

A strong credit score isn’t a guarantee that you’ll get your refinance approved or that you’ll get the lowest rate, but it could make your path easier. Lenders are also more likely to approve you if you don’t have excessive monthly debt. You should also keep an eye on mortgage rates for different loan terms. They fluctuate frequently, and loans that need to be paid off sooner tend to charge lower interest rates.

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