Today’s mortgage rates hold steady across all terms for third straight day | Feb. 14, 2023

Based on data compiled by Credible, mortgage rates for home purchases remained unchanged across all terms since yesterday.

Rates last updated on Feb. 14, 2023. These rates are based on the assumptions shown here. Actual rates may vary. Credible, a personal finance marketplace, has 5,000+ Trustpilot reviews with an average star rating of 4.7 (out of a possible 5.0).

What this means: Homebuyers who want to save the most on interest should consider shorter terms today: Both 10- and 15-year rates have rested at 6.5% for eight straight days, which is more than a full percentage point lower than 30-year rates. Though shorter terms come with a higher monthly payment, they offer the most interest savings and allow buyers to pay off their mortgages much sooner. But buyers who want a longer repayment term will likely find lower rates with a 20-year mortgage.

To find great mortgage rates, start by using Credible’s secured website, which can show you current mortgage rates from multiple lenders without affecting your credit score. You can also use Credible’s mortgage calculator to estimate your monthly mortgage payments.

Based on data compiled by Credible, mortgage refinance rates have risen for two key terms and remained unchanged for two other terms since yesterday. 

Rates last updated on Feb. 14, 2023. These rates are based on the assumptions shown here. Actual rates may vary. With 5,000 reviews, Credible maintains an “excellent” Trustpilot score.

What this means: Although 30-year mortgage refinance rates remained unchanged since yesterday, homeowners looking for a combination of a lower interest rate and smaller monthly mortgage payment may want to consider 20-year rates, which also held steady at 7.125%. But homeowners looking to take advantage of low rates will find greater interest savings with 15-year rates, which are the lowest available at 5.375%.

How mortgage rates have changed over time

Today’s mortgage interest rates are well below the highest annual average rate recorded by Freddie Mac — 16.63% in 1981. A year before the COVID-19 pandemic upended economies across the world, the average interest rate for a 30-year fixed-rate mortgage for 2019 was 3.94%. The average rate for 2021 was 2.96%, the lowest annual average in 30 years.

The historic drop in interest rates means homeowners who have mortgages from 2019 and older could potentially realize significant interest savings by refinancing with one of today’s lower interest rates. When considering a mortgage refinance or purchase, it’s important to take into account closing costs such as appraisal, application, origination and attorney’s fees. These factors, in addition to the interest rate and loan amount, all contribute to the cost of a mortgage.

How Credible mortgage rates are calculated

Changing economic conditions, central bank policy decisions, investor sentiment and other factors influence the movement of mortgage rates. Credible average mortgage rates and mortgage refinance rates reported in this article are calculated based on information provided by partner lenders who pay compensation to Credible. 

The rates assume a borrower has a 740 credit score and is borrowing a conventional loan for a single-family home that will be their primary residence. The rates also assume no (or very low) discount points and a down payment of 20%.

Credible mortgage rates reported here will only give you an idea of current average rates. The rate you actually receive can vary based on a number of factors.

What is a good mortgage rate?

Generally, a good mortgage rate is one that’s the lowest you can qualify for based on your individual factors, such as credit history, income, other debts, down payment amount and more.

A rate that’s good for your financial situation should result in a monthly mortgage payment that you can manage, while leaving plenty of room in your monthly budget to put toward savings, investments and an emergency fund. And a good rate should be competitive with average rates in the geographic area where you’re looking to buy.

If you’re trying to find the right mortgage rate, consider using Credible. You can use Credible’s free online tool to easily compare multiple lenders and see prequalified rates in just a few minutes.

Have a finance-related question, but don’t know who to ask? Email The Credible Money Expert at moneyexpert@credible.com and your question might be answered by Credible in our Money Expert column.