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30-Year Mortgage Interest Rates

Today's 30-Year Mortgage Rates

Get today's mortgage rates and APR on Conventional 30-Year Fixed, FHA, and VA.

30-Year Fixed

6.563% APR

FHA 30-Year Fixed

7.091% APR

VA 30-Year Fixed

6.532% APR

Rates are current as of 9:00AM PST on 5/20/2024.

Understanding 30-Year Fixed Mortgage Rates: A Comprehensive Guide

When you decide to take out a loan to buy a home, one of the first pieces of information you’ll come across is mortgage rates. Learning how mortgage rates work is crucial to understanding your home loan. Among the various mortgage options available, the 30-year fixed mortgage rate is one of the most popular choices for homeowners.

What is a 30-Year Fixed Mortgage Rate?

A mortgage rate is the interest rate you pay on your mortgage loan. Mortgage rates change daily and are based on fluctuations in the market. When a rate is said to be “fixed” it means that the interest rate won’t fluctuate. It will stay the same for the life of the loan. In this case, the life of the loan is 30 years. So, a 30-year fixed mortgage rate is a mortgage rate that will stay the same for the entirety of your 30-year loan.

For example, if you were to get approved for a 30-year fixed-rate loan at 6.25% interest rate, your interest rate would not change again, regardless of the actual shifts in current rates. The only exception to this is if you choose to refinance your loan.

Understanding 30-year fixed mortgage rates is important for several reasons. Firstly, it allows you to accurately estimate your monthly mortgage payments. This helps you plan your budget effectively. Secondly, it enables you to compare different loan options and choose the most suitable one for your financial situation. Lastly, being knowledgeable about mortgage rates empowers you to make informed decisions when refinancing or purchasing a new home.

Current 30-Year Fixed Mortgage Rates

Mortgage rates are affected by many different political and economic factors, and they change daily. New American Funding has up-to-date information regarding current mortgage rates to help you budget and see which home loan might be right for your needs.

Factors Affecting 30-Year Fixed Mortgage Rates

Several factors influence 30-year fixed mortgage rates. Understanding these factors can help you navigate the mortgage market more effectively. Some key factors include:

  • Housing Market Conditions: The overall health of the housing market impacts mortgage rates. This can include things like supply and demand, trends in new construction, and changes in home values. For instance, in a strong housing market, mortgage rates may be higher because there is an increase in competition among buyers.
  • Monetary Policy and the Role of the Federal Reserve: The Federal Reserve plays a significant role in setting interest rates. While it doesn’t set mortgage rates directly, it changes the federal funds rate, which is the interest rate that banks across the nation use in their loans. These changes, in turn, influence mortgage rates. As the Federal Reserve raises rates, mortgage rates tend to increase as well.
  • Credit Score: While there are many external factors that affect your mortgage rate, your rate is also determined, in part by your own individual financial profile. Your credit score is a significant factor in determining the interest rate you qualify for. A higher credit score generally leads to lower mortgage rates, as it indicates a lower risk for lenders.
  • Loan-to-Value Ratio (LTV): Your LTV is also a contributing factor to your mortgage rate. LTV compares the loan amount to the appraised value of the property. A lower loan-to-value ratio often results in more favorable mortgage rates. Your LTV can be affected by the down payment amount you are able to put down, if you are able to put down a higher down payment, you may be able to lower your LTV and get a lower mortgage rate as a result.
  • Debt-to-Income Ratio (DTI): Lenders consider your DTI when determining mortgage rates. Your DTI is the ratio of debt payments you have compared to your income. A lower ratio indicates a lower risk for lenders, potentially leading to better rates.
  • Property Location: The location of the property can impact mortgage rates. Factors such as local market conditions and property values in the area can influence the rates offered.

Understanding 30-Year Fixed Mortgage Rates

To fully understand 30-year fixed mortgage rates, you must understand the concept of fixed-rate mortgages. In a fixed-rate mortgage, the interest rate remains constant throughout the entire loan term, unless you choose to refinance. Fixed-rate mortgages offer stability and predictability, allowing homeowners to budget effectively and plan for the long term.

Advantages and Disadvantages of 30-Year Fixed Mortgage Rates:


  • Lower monthly payments: Because the rate term is 30 years, compared to shorter-term mortgages like 15, your monthly payments will be lower
  • Stability: With predictable and unchanging monthly payments, you have greater financial stability. This will allow you to budget more easily and effectively
  • Protection against rising interest rates: Since fixed mortgage rates stay the same over the life of the loan, you won’t be subject to a higher interest rate even if the current rates go up


  • Higher interest rates: Lenders risk more with a 30-year rate since the loan is longer, this means that your interest rate will generally be higher than it would with a 15-year rate
  • Higher overall interest paid over the life of the loan
  • Slower equity buildup compared to shorter-term mortgages

Calculation of Monthly Payments for a 30-Year Fixed Mortgage

To calculate your monthly mortgage payments for a 30-year fixed mortgage, you need to consider the loan amount, interest rate, and term. Mortgage rate calculators are valuable tools that allow you to estimate your potential mortgage rates based on your financial information. These calculators take into account factors such as credit score, loan amount, and down payment to provide you with an estimated rate.

The Difference Between Fixed-Rate vs Adjustable-Rate

While fixed-rate mortgages offer stability, adjustable-rate mortgages (ARMs) have interest rates that can fluctuate over time. ARMs typically have lower initial rates but can increase after a specific period. Understanding the differences between these two types of mortgages is important when you’re figuring out which type of rate is right for your unique needs.

30-Year vs 15-Year Mortgage Rate

Another important consideration is the choice between a 30-year and a 15-year mortgage rate. While a 30-year mortgage rate offers lower monthly payments, a 15-year mortgage rate allows you to pay off your loan faster and save on interest payments. It is essential to evaluate your financial goals and capabilities before making a decision.

Understanding 30-year fixed mortgage rates is important for anyone considering homeownership or refinancing. By learning the factors that influence rates, the advantages and disadvantages of fixed rates, and the differences between various mortgage options, you can make informed decisions that align with your financial goals.

30-Year Fixed Mortgage Rates FAQ

How are mortgage rates impacting home sales?

Mortgage rates play a significant role in home sales. Lower mortgage rates can stimulate demand and make homeownership more affordable, leading to increased home sales. Conversely, higher rates can deter potential buyers and slow down the housing market.

What are discount points on mortgages?

Discount points are fees paid directly to the lender at closing in exchange for a lower interest rate. Each discount point typically costs 1% of the loan amount and can result in a lower monthly payment over the life of the loan.

Should I refinance my mortgage when the interest rate drops?

Refinancing your mortgage when interest rates drop can be a smart financial move. By refinancing to a lower rate, you can potentially lower your monthly payments and save on interest over the life of the loan. However, it's important to consider closing costs and the length of time you plan to stay in the home before deciding to refinance.

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