Current National Refinance Rates: April 5, 2024—Rates Decline

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

The current 30-year, fixed-rate mortgage refinance rate is averaging 7.44%, according to Curinos, while 15-year, fixed-rate refinance mortgages average of 6.57%. For 20-year mortgage refinances, the average rate is 7.29%.

Related: Compare Current Refinance Rates

Refinance Rates for April 5, 2024

30-Year Fixed Refinance Interest Rates

The current 30-year, fixed-rate mortgage refinance is averaging 7.44%, compared to 7.37% last week.

The annual percentage rate (APR) on a 30-year, fixed-rate mortgage is 7.47%, compared to 7.42% last week. The APR is the all-in cost of a home loan—the interest rate including any fees or extra costs.

At the current interest rate of 7.44%, borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $695 per month for principal and interest, according to the Forbes Advisor mortgage calculator. That doesn’t include taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $150,117.

20-Year Refinance Interest Rates

The average interest rate on the 20-year fixed refinance mortgage is 7.29%. Last week, the 20-year fixed-rate mortgage was at 7.20%.

The APR on a 20-year fixed is 7.34%. This time last week, it was 7.24%.

A 20-year fixed-rate mortgage refinance of $100,000 with today’s interest rate of 7.29% will cost $793 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay around $90,229 in total interest.

15-Year Refinance Interest Rates

For a 15-year fixed refinance mortgage, the average interest rate is currently 6.57% compared to 6.52% at this time last week.

The APR, or annual percentage rate, on a 15-year fixed mortgage is 6.57%. That compares to 6.51% at this time last week.

Using the current interest rate of 6.57%, a 15-year, fixed-rate mortgage refinance of $100,000 would cost $875 per month in principal and interest—not including taxes and fees. That would equal about $57,533 in total interest over the life of the loan.

30-Year Jumbo Refinance Interest Rates

The average interest rate for a 30-year, fixed-rate jumbo mortgage refinance is 7.48%. Last week, the average rate was 7.38%.

Borrowers with a 30-year, fixed-rate jumbo mortgage refinance with today’s interest rate of 7.48% will pay $698 per month in principal and interest on a $100,000 loan.

15-Year Jumbo Refinance Interest Rates

A 15-year, fixed-rate jumbo mortgage refinance is 7.13%, on average, compared to the average of 7.03% last week.

At today’s interest rate of 7.13%, a borrower with a 15-year, fixed-rate jumbo refinance would pay $6,795 per month in principal and interest on a $750,000 loan. Over the life of the loan, that borrower would pay around $473,024 in total interest.

Are Refinance Rates and Mortgage Rates the Same?

No, mortgage refinance rates are typically higher than purchase loan rates due to additional risk for the lender. Cash-out refinance rates are also higher than a standard rate-and-term refinance as you are increasing your loan balance by tapping your equity.

The application process for refinancing a mortgage is similar to getting a home purchase loan regarding the required paperwork and home appraisal. Additionally, similar closing costs from 2% to 6% of the loan amount apply, which is an extra expense.

When you refinance, your new rate is based on current refinance rates and your loan term. This rate replaces your existing mortgage repayment terms.

When You Should Refinance Your Home

There are lots of good reasons to  refinance your mortgage, but for most homeowners, it comes down to lowering the interest rate, reducing monthly payments or paying off the loan more quickly. Refinancing can also allow you to tap some of your home’s equity or eliminate private mortgage insurance (PMI).

It’s important to keep in mind that refinancing carries costs, and for that reason makes more sense if you plan to stay in your home for some time. It can be helpful to calculate the “break-even point” for a potential refinance—to see how long it will take for savings from the new mortgage to outweigh closing costs. Try to find out what those fees will be and divide them by the monthly savings from the new mortgage.

Check out our mortgage refinance calculator to help you decide if this is a good time to refinance.

Is Now a Good Time To Refinance?

Consider refinancing your mortgage when you need a more affordable monthly payment, want to stop paying annual FHA or USDA loan fees or would prefer a fixed interest rate. You may also consider a cash-out refinance to borrow from your home equity.

However, as refinance rates have increased by several percentage points from near-term lows in late 2021, it can be harder to replace your existing interest rate with a lower one, unless you refinance to a 15-year mortgage. As a result, extending your loan term is the one way to reduce your payment, but you can end up paying more total interest.

The application process is similar to buying a home. Plus, home appraisal fees and closing costs from 2% to 6% of the loan amount apply and add to your lifetime borrowing costs.

How To Get Today’s Best Refinance Rates

Just like when you took out your original mortgage, it pays to have a strategy for finding the lowest rate when you want to refinance. Here’s what you should be doing get a good mortgage rate:

  • Improve your credit
  • Consider a shorter loan term
  • Lower your debt-to-income ratio
  • Watch mortgage rates

There are no guarantees when it comes to borrowing, but a strong credit score is one of the best things you can do to present yourself to lenders. Banks and other financial institutions are more likely to approve you if you don’t have too much debt relative to your income. You should check in on mortgage rates, which fluctuate frequently, on a regular basis. And use calculators like ours to see if you can swing a home loan that’s shorter in duration than the popular 30-year mortgage. These loans usually have lower interest rates.

Frequently Asked Questions (FAQs)

How quickly can you refinance a mortgage?

Many lenders refinance your mortgage in about 45 to 60 days, but it depends on the type of mortgage you choose and other factors. Ask your lender what their time frame is before you borrow to make sure it’s right for you.

How much does it cost to refinance a mortgage?

Closing costs for a refinance can be anywhere from 2% to 6% of the cost of the loan. It’s always a good idea to ask the lender what kind of closing costs they’ll charge before you decide to borrow from them.

How soon can you refinance a mortgage?

In many cases, you can refinance a mortgage as soon as six months after you start paying it down, although some lenders insist that you wait 12 months. You should ask your lender to be sure.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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