A mixed week for mortgage rates

ZACH WICHTER
BANKRATE.COM
It's been a mixed week for mortgage rates.

Mortgage interest rates moved in different directions this week.

The average rate for the benchmark 30-year fixed mortgage is 3.24 percent, unchanged over the last week. A month ago, the average rate on a 30-year fixed mortgage was lower, at 2.88 percent.

At the current average rate, you’ll pay a combined $434.66 per month in principal and interest for every $100,000 you borrow.

The average 15-year fixed-mortgage rate is 2.48 percent, down 3 basis points since the same time last week.

Monthly payments on a 15-year fixed mortgage at that rate will cost around $666 per $100k borrowed. That’s clearly much higher than the monthly payment would be on a 30-year mortgage at that rate, but it comes with some big advantages: You’ll save thousands of dollars over the life of the loan in total interest paid and build equity much more quickly.

The average rate on a 5/1 ARM is 3.07 percent, ticking up 9 basis points since the same time last week.

Adjustable-rate mortgages, or ARMs, are mortgage terms that come with a floating interest rate. To put it another way, the interest rate can change periodically throughout the life of the loan, unlike fixed-rate mortgages. These loan types are best for those who expect to sell or refinance before the first or second adjustment. Rates could be substantially higher when the loan first adjusts, and thereafter.

Monthly payments on a 5/1 ARM at 3.07 percent would cost about $425 for each $100,000 borrowed over the initial five years, but could increase by hundreds of dollars afterward, depending on the loan’s terms.

The average jumbo mortgage rate is 3.27 percent, a decrease of 1 basis point over the last seven days. Last month on the 16th, the average rate on a jumbo mortgage was lesser, at 2.91 percent.

At the average rate today for a jumbo loan, you’ll pay $436.30 per month in principal and interest for every $100k you borrow. That’s a decline of $0.55 from last week.

Summary: How mortgage interest rates have changed

-          30-year fixed mortgage rate: 3.24 percent, the same as last week

-          15-year fixed mortgage rate: 2.48 percent, down from 2.51 percent last week, -0.03

-          5/1 ARM mortgage rate: 3.07 percent, up from 2.98 percent last week, +0.09

-          Jumbo mortgage rate: 3.27 percent, down from 3.28 percent last week, -0.01