Today’s mortgage rates as of August 29, 2022

Looking for the latest mortgage rates to make your purchase or refinance decisions? We have what you need.

Here you can see today’s mortgage interest rates, updated daily based on data from Bankrate, so you can have the most up-to-date data when buying or refinancing your home.

30 Year Fixed Rate Mortgages

The average mortgage interest rate for a standard 30-year fixed mortgage is 5.89%, up 0.11 percentage points from 5.78% last week.

Thirty-year fixed rate mortgages are the most popular loan term. A 30-year fixed rate mortgage has a lower monthly payment than a 15-year one, but generally has a higher interest rate.

15-year fixed rate mortgages

The average mortgage interest rate for a standard 15-year fixed mortgage is 5.11%, up 0.16 percentage points from 4.95% last week.

15-year fixed rate mortgages come with a higher monthly payment than its 30-year counterpart. However, interest rates are generally lower and you will pay less total interest because you are paying off your loan at a faster rate.

5/1 Adjustable Rate Mortgages

The average rate for a 5/1 adjustable rate mortgage (ARM) is 4.35%, up 0.05 percentage points from 4.30% last week. With an ARM, you will most often get a lower interest rate than a fixed rate mortgage for, say, the first five years.

But you might end up paying more or less after that time depending on the terms of your loan and how that rate tracks the market.

What is the best term for a loan?

When choosing a mortgage loan, it is important to choose a loan term or payment schedule. Typically, you’ll be offered a 15- or 30-year loan term, but it’s not uncommon to see 10-, 20-, or 40-year mortgages, according to CNET.

Mortgages can be fixed rate or adjustable rate. Interest rates for fixed rate mortgages are fixed for the term of the loan.

Variable rate mortgages only have interest rates that are fixed for a certain period of time before the rate adjusts annually based on the market.

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Katherine Rodriguez can be reached at [email protected]. Do you have any advice? Tell us at nj.com/tips.

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