Today's mortgage and refinance rates: April 26, 2021 | Rates dip

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Mortgage and refinance rates have decreased a little since last Monday. Rates are down more significantly since this time last month.

Marvin Loh, Senior Global Macro Strategist at State Street, told Insider he expects mortgage rates to remain fairly steady until at least fall 2021.

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Mortgage rates heavily rely on the 10-year Treasury yield, Some of the factors that affect the Treasury yield, like inflation and employment, will probably change drastically in the coming months. Loh said the market will need time to determine which shifts are short-term and which are permanent before the 10-year treasury yield increases or decreases. So rates should stay low until the economy stabilizes.

Today’s mortgage rates: Monday, April 26, 2021

Mortgage type Average rate today
15-year fixed 2.42%
30-year fixed 3.32%
7/1 ARM 4.16%
10/1 ARM 3.90%
30-year FHA 2.91%
30-year VA 2.71%

Conventional rates from Money.com; government-backed rates from RedVentures.

Learn more and get offers from multiple lenders.»

Mortgage rates are low in general today. You can get a 30-year rate under 3.5%, and a 15-year rate under 2.5%.

Rates for conventional mortgages (which might be what you think of “normal mortgages”) are at historic lows. But mortgages backed by the FHA and VA offer even lower rates. Government-backed mortgages are great options if you’re eligible to apply.

Today’s refinance rates: Monday, April 26, 2021

Mortgage type Average rate today
15-year fixed 2.65%
30-year fixed 3.64%
7/1 ARM 4.50%
10/1 ARM 4.53%
30-year FHA 2.87%
30-year VA 2.71%

Conventional rates from Money.com; government-backed rates from RedVentures.

Click here to compare offers from refinancing lenders »

Even though refinance rates are higher than purchase mortgage rates, refinance rates are still low overall.

Tips for getting a good mortgage rate

Mortgage and refinance rates are low, so it could be a great day to secure a rate. But you might not have to hurry to obtain a low rate.

Rates will likely remain low for the foreseeable future. You have time to boost your finances, which could result in an improved interest rate. Consider the following steps:

  • Boost your credit score by paying your bills in a timely fashion. You could also pay down debts or let your credit age.
  • Put down a larger down paymentYou may need between 0% and 20% for a down payment, depending on which type of mortgage you want. But if you can pay more than the minimum, a lender might give you a better rate.
  • Lower your debt-to-income ratio. Your DTI ratio is the amount you pay toward debts each month, divided by your gross monthly income. Many lenders want to see a DTI ratio of 36% or less. Consider paying down debts more aggressively to get a better ratio.
  • Pick a government-backed mortgage. If you’re qualified, you may want to get a USDA loan (designed for low-to-moderate-income borrowers buying in a rural area), a VA loan (aimed at military members and veterans), or an FHA loan (not designated for any particular group). These loans frequently have lower interest rates than conventional mortgages. Additionally, you don’t need to make a down payment for USDA or VA loans.

You can lock in a low rate today if your finances are in a good place, but you don’t need to hurry to get a mortgage or refinance if you’re not ready.

Mortgage and refinance rates trends

Mortgage rate trends

Mortgage type Average rate today Average rate last week Average rate last month
15-year fixed 2.42% 2.51% 2.60%
30-year fixed 3.32% 3.35% 3.52%
7/1 ARM 4.16% 4.29% 4.29%
10/1 ARM 3.90% 3.92% 4.34%

Today’s mortgage rates are lower than they were last Monday. They’ve gone down since this time last month, too.

Refinance rate trends

Mortgage type Average rate today Average rate last week Average rate last month
15-year fixed 2.65% 2.72% 2.91%
30-year fixed 3.64% 3.68% 3.83%
7/1 ARM 4.50% 4.58% 4.65%
10/1 ARM 4.53% 4.54% 4.82%

Mortgage refinance rates have decreased a little since this time last week, and more substantially since last month.

15-year fixed-rate mortgages

If you get a 15-year fixed mortgage, it will take you 15 years to pay down your mortgage, and your interest rate will remain the same the whole period. 

You’ll make higher monthly payments with a 15-year fixed mortgage than a 30-year fixed mortgage because you’ll pay off the same loan principal over fewer years. 

However, it will be less expensive to take out a 15-year fixed mortgage than a 30-year fixed mortgage. You’ll pay off the loan in half the time and you’ll get a better interest rate to boot.  

30-year fixed-rate mortgages

With a 30-year fixed mortgage, you’ll pay down your mortgage over three decades, and you’ll pay a locked-in interest rate for the whole term. A 30-year term comes with a higher interest rate than a shorter term.

A 30-year fixed mortgage will be more expensive than a 15-year fixed mortgage, as you’re paying a higher interest rate for an extended period — so your total interest paid will be higher. 

However, you’ll pay less per month with a 30-year term than with a shorter term, though, because you’re dividing up your payments over more years. 

Adjustable-rate mortgages

A fixed-rate mortgage locks in your rate for your entire loan period. But with an adjustable-rate mortgage, you’ll pay the same rate for the introductory period, then that rate will change regularly. A 10/1 ARM secures your rate for a decade. Then your rate will fluctuate annually.

You might still prefer a fixed-rate mortgage, even though ARM rates are at all-time lows. You can lock in a low rate for 15 to 30 years without chancing an increased future rate with an ARM.

If you’re thinking about getting an ARM, discuss with your lender what your rates would be if you chose a fixed-rate versus an adjustable-rate mortgage.

Mortgage and refinance rates by state

Check the latest rates in your state at the links below. 

Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota
Tennessee
Utah
Vermont
Virginia
Washington
Washington DC
West Virginia
Wisconsin
Wyoming

Laura Grace Tarpley is an editor at Personal Finance Insider, covering mortgages, refinancing, bank accounts, and bank reviews. She is also a Certified Educator in Personal Finance (CEPF). Over her four years of covering personal finance, she has written extensively about ways to save, invest, and navigate loans.

Ryan Wangman is a reviews fellow at Personal Finance Insider reporting on mortgages, refinancing, bank accounts, and bank reviews. In his past experience writing about personal finance, he has written about credit scores, financial literacy, and homeownership.

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