Today’s 30-year mortgage rates tumble below 3.5% | Jan. 12, 2022

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Take a look at mortgage rates for January 12, 2022, which have been increasing since yesterday. (iStock)

Based on data compiled by Credible, 30-year mortgage rates have decreased since yesterday and rates for three other maturities have increased.

  • 30-year fixed-rate mortgage rates: 3.440%, versus 3.750%, -0.310
  • 20-year fixed-rate mortgage rates: 3.875%, from 3.750%, + 0.125
  • 15-year fixed-rate mortgage rates: 3.125%, from 3,000%, +0.125
  • 10-year fixed-rate mortgage rates: 3.125%, from 3,000%, +0.125

Prices last updated on January 12, 2022. These prices are based on the assumptions shown here. Actual prices may vary.

What this means: Today’s decline in 30-year rates, the most common mortgage term, gives home buyers another day to secure a relatively low rate before interest rates rise again. The interest rates for three other key terms continue to rise, with rates rising beyond the 30 year rates for 20 years. Buyers who can handle a higher monthly payment can still save interest by opting for a term of 15 or 10 years.

These prices are based on the assumptions shown here. Actual prices may vary.

To find the best mortgage rate, first use Credible, which can show you the latest mortgage and refinance rates:

Search the interest rates from multiple lenders so you can make an informed decision about your home loan.

Credible, a personal finance marketplace, has 4,500 Trustpilot reviews with an average star rating of 4.7 (out of a possible 5.0).

Look at today’s mortgage refinancing rates

Although mortgage rates have risen steadily over the past few months, homeowners can still set a savings rate – especially if they took out their mortgage before the pandemic, when rates were higher. If you’re considering refinancing an existing home, see what the refinance rates look like:

  • 30-year fixed rate refinancing: 3.440%, versus 3.750%, -0.310
  • 20-year fixed rate refinancing: 3.250%, versus 3.375%, -0.125
  • 15-year fixed rate refinancing: 3.125%, from 3,000%, +0.125
  • 10-year fixed rate refinancing: 3.125%, from 2.750%, + 0.375

Prices last updated on January 12, 2022. These prices are based on the assumptions shown here. Actual prices may vary.

A website like Credible can be of great help when you are ready to compare mortgage refinancing loans. Credible shows you pre-qualified interest rates for conventional mortgages from multiple lenders within minutes. Visit Credible today to get started.

Credible has received a 4.7-star rating (out of a possible 5.0) on Trustpilot and more than 4,500 reviews from customers who have safely compared prequalified tariffs.

What credit do I need to buy a home?

The creditworthiness that you need to get a mortgage loan depends on several factors, including the type of mortgage you are applying for. Here are the general creditworthiness requirements for some popular mortgage products.

FHA loan

The Federal Housing Administration, part of the US Department of Housing and Urban Development, insures these loans, which are made by private lenders. It is possible to qualify for an FHA loan with a credit score of only 500, but you will need to pay a minimum of 10% down payment. With a credit score of 580 or higher, you only need to deposit 3.5%.

VA loan

The US Department of Veterans Affairs guarantees a portion of these loans, which are made by private lenders and available only to active military officials, veterans and their spouses. VA loans have no minimum credit requirements. However, the VA guidelines help ensure that applicants have sufficient income to be able to afford the loan.

USDA loan

Very low-income Americans looking to buy homes in certain rural areas may be eligible for a US Department of Agriculture loan. The USDA funds these loans, and there are no minimum credit requirements.

Conventional Loans

A conventional loan is one that is not supported by any government agency. To qualify for a conventional loan, according to Fannie Mae, you typically need a minimum credit score of 620 for fixed rate loans and 640 for variable rate mortgages.

Current mortgage rates

Today’s average mortgage rate rose to 3.391% – the highest in more than a year.

Current mortgage rates for 30 years

The current interest rate on a 30-year fixed-rate mortgage is 3.440%. That’s less than yesterday. Thirty years is the most common mortgage term as 30 year mortgages typically offer a lower monthly payment. But they also tend to come with higher interest rates, which means that you will end up paying more interest over the life of the loan.

Current mortgage rates for 20 years

The current interest rate on a 20-year fixed-rate mortgage is 3.875%. That’s from yesterday. Shortening your repayment period by as little as 10 years can mean you get a lower interest rate – and pay less overall interest over the life of the loan.

Current mortgage rates for 15 years

The current interest rate on a 15-year fixed-rate mortgage is 3.125%. That’s from yesterday. Fifteen year mortgages are the second most common mortgage term. A 15 year mortgage can help you get a lower interest rate than a 30 year term – and pay less interest over the life of the loan – while keeping monthly payments manageable.

Current 10-year mortgage rates

The current interest rate on a 10-year fixed-rate mortgage is 3.125%. That’s from yesterday. Although less common than 30- and 15-year mortgages, a 10-year fixed-rate mortgage typically offers lower interest rates and lifetime interest costs, but a higher monthly mortgage payment.

You can explore your mortgage options in minutes by visiting Credible to compare the current interest rates from different lenders offering both mortgage refinancing and home loans. Check out Credible and get prequalified today. Check out today’s refinance rates using the link below.

Thousands of Trustpilot reviewers rate Credible “excellent”.

Prices last updated on January 12, 2022. These prices are based on the assumptions shown here. Actual prices may vary.

This is how credible mortgage interest rates are calculated

Changing economic conditions, central bank policy decisions, investor sentiment and other factors affect mortgage interest rate developments. Credible average mortgage interest and mortgage refinancing rates are calculated based on information provided by partner lenders who pay Credible compensation.

The interest rates assume that a borrower has a credit score of 740 and is taking out a traditional loan on a single family home that will be their primary residence. The tariffs also require no (or very low) discount points and a deposit of 20%.

Credible mortgage rates only give you an idea of ​​current average rates. The price you get can vary based on a number of factors.

How mortgage rates have changed

Today mortgage rates are up compared to last week.

  • 30-year fixed-rate mortgage rates: 3.440%, down from 3.250% last week, +0.190
  • 20-year fixed-rate mortgage rates: 3.875%, down from 3,000% last week, +0.875
  • 15-year fixed-rate mortgage rates: 3.125%, down from 2,500% last week, +0.625
  • 10-year fixed-rate mortgage rates: 3.125%, down from 2.375% last week, +0.750

Prices last updated on January 12, 2022. These prices are based on the assumptions shown here. Actual prices may vary.

Whenever you are trying to find the right interest rate on your mortgage or refinancing an existing home, you should use Credible. You can use Credible’s free online tool to compare multiple lenders and view prequalified rates in minutes.

With over 4,500 reviews, Credible holds an “Excellent” Trustpilot rating.

How do I choose a mortgage lender?

A mortgage is probably the biggest debt you will take on in life – one that will take decades to pay back. Hence, it is important to make sure that you select a mortgage lender and mortgage that is most suitable for your needs and financial situation.

Here are some tips to help you choose a mortgage lender:

  1. Comparison shop. Compare rates and terms from multiple lenders. Just as you compare for less important purchases, consider comparing quotes from multiple lenders. A Freddie Mac study found that adding just one offer to your mortgage search could save you $ 1,500 over the life of a loan. Adding five can save you about $ 3,000. Credible makes it easy for you to compare your pre-qualified rates from multiple lenders.
  2. Consider a mortgage broker. Mortgage brokers can do the legwork for you in finding a loan agreement. Note, however, that mortgage brokers usually make money by charging a small percentage of the loan for their services.
  3. Make use of relationships. Discover mortgage offers from banks and financial institutions you already do business with. Loyalty and familiarity can work in your favor in negotiating a good mortgage deal.
  4. Look for recommendations. Ask friends, family, co-workers, and neighbors for recommendations and their experiences with various lenders.

Would you like to reduce your home contents insurance?

Home insurance can help cover unexpected costs you may incur while home, such as structural damage and destruction or stolen personal property. Insurance coverage can vary greatly depending on the insurer, so it is advisable to look around and compare insurance offers.

Credible has a partnership with a home insurance broker. You can compare free home contents insurance offers from Credible’s partner here. It’s quick, easy, and the whole process can be completed entirely online.

Do you have a question about finance but don’t know who to contact? Email the Credible Money Expert at moneyexpert@credible.com and your question could be answered by Credible in our Money Expert column.

A credible mortgage and personal finance authority, Chris Jennings has covered topics such as mortgage loans, mortgage refinancing, and more. He has been an online editor and assistant editor for personal finance for four years. His work has been featured by MSN, AOL, Yahoo Finance, and others.

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