SPY -0.73%
BND -0.01%
QQQ +0.37%
DIA -1.54%
VNQ -0.23%
GLD -1.76%
BTC -3.94%
AAPL -3.63%
GOOGL -0.82%
NVDA -1.16%
MSFT -3.47%
META +1.17%
AMZN -0.75%
TSLA -2.33%
UBER -3.65%
GS -0.16%
BAC -0.06%
JPM -1.93%
BRK.A -0.79%
COST -1.69%
XOM -2.02%
BABA +0.55%
WMT -2.12%
SPCX +2.20%
DIS -2.44%
F -1.49%
Live a richer life.
  • Discounts and special offers
  • Subscriber-only articles and interviews
  • Breaking news and trending topics

Already a subscriber?

By signing up, you accept Moneywise's Terms of Use, Subscription Agreement, and Privacy Policy.

Not interested ?

Home
Mortgages
Beautiful detached house with red door Ewelina Wachala / Shutterstock

Mortgage Rates in Plunge to the Lowest Levels Ever

Moneywise
Sep 13, 2020
Share
Email
Facebook
X
LinkedIn
Reddit
Follow us
Newsletter
Instagram
Facebook
Tiktok
X
Youtube

Follow us on Google for more Moneywise news

Add us on Google
While we adhere to strict editorial guidelines, partners on this page may provide us earnings.

Have you been paying attention to mortgage rates? They've nose-dived their way to the lowest levels in history.

It's true: Mortgage rates have never been better. In , the savings can be huge for homebuyers and homeowners.

Advertisement

See how low rates have sunk for borrowers:

Stay ahead of the mortgage market, free.

By signing up, you accept Moneywise Terms of Use, Subscription Agreement, and Privacy Policy.

How much can you save?

You can find rates on popular 30-year fixed-rate mortgages that are more than an entire percentage point below where were last year at this time. The difference between yesterday's mortgage at 3.75% and today's at 2.90% can be massive in terms of your monthly payment and the total interest you'll pay.

The mortgage data firm Black Knight has said 19.3 million U.S. mortgage holders could save an average $299 a month — close to $3,600 per year — by refinancing at today's low rates.

If you're in that group, you seriously need to get moving. Be sure to compare refinance offers from at least three banks side by side.

Meanwhile, a homebuyer in who sticks with a $200,000 mortgage for 30 years will pay tens of thousands of dollars less in interest at 2.90% than with a loan at 3.75%.

See the savings for yourself. This calculator shows the kind of monthly payment you can expect from today's low mortgage rates.

Must Read

Why are mortgage rates so low in ?

Mortgage rates have been reeling because investors continue to worry about the economic devastation from the coronavirus pandemic.

Advertisement

During periods of uncertainly, people put more of their money into U.S. Treasury bonds, which are seen as a safer investment for troubled times.

As investors pile into Treasuries, the demand makes their prices go up (remember what you learned in school about supply and demand?). And their yields — the interest paid on those securities — go down.

Mortgage rates tend to mimic the yields on 10-year Treasury notes, which have been cratering. As the yields drop, so do mortgage rates in .

But don't delay, because the savings are too good to put off. Shop around for the best mortgage rate in , and lock one in as soon as you can.

While you're at it, you also can find and compare home insurance quotes in minutes, to land a policy that works for you.

You May Also Like

Share this:
Moneywise Moneywise Editorial Team

The Moneywise Editorial Team is a group of passionate financial experts, seasoned journalists, and content creators who are deeply committed to providing unbiased, relevant, and accurate financial information. With years of combined industry experience, our team is dedicated to maintaining the highest journalistic standards and delivering informative and engaging content. From personal finance and investing to retirement planning and business finance, we cover a broad range of topics to suit the financial needs of our diverse readership. You can trust the Moneywise Editorial Team to empower you with the knowledge and tools necessary to make wise financial decisions.

more from Moneywise
Grant Cardone smiles while speaking on stage while wearing a blue jacket and tie.

Managing Money • May 13

‘You’ll be so rich’: Grant Cardone shares his 3 biggest tips for generational wealth. Which ones are you missing?

Taylor Money

Managing Money • Feb 13

This millionaire says one simple move will put middle-class Americans on the path to making millions

Explore the latest

Disclaimer

The content provided on Moneywise is information to help users become financially literate. It is neither investment, tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities, enter into any loan, mortgage or insurance agreements or to adopt any investment strategy. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter. Advertisers are not responsible for the content of this site, including any editorials or reviews that may appear on this site. For complete and current information on any advertiser product, please visit their website.

†Terms and Conditions apply.