All mortgage and refinance rates have increased since last Tuesday. But rates have wavered since this time last month — some are up, some are down, and some have stayed the same.
Even though rates have risen since last week, mortgage rates are low overall. Rates dropped significantly in 2020 in response to the coronavirus. They'll like stay low for at least a few more months as the economy works its way back from the effects of the pandemic.
To take advantage of today's low rates, lock in a rate by applying for preapproval with at least one lender.
Mortgage rates today: Tuesday, May 18, 2021| Mortgage type | Average rate today |
| 15-year fixed | 2.48% |
| 30-year fixed | 3.35% |
| 7/1 ARM | 4.14% |
| 10/1 ARM | 4.02% |
| 30-year FHA | 2.85% |
| VA mortgage loan | 2.66% |
Conventional rates from Money.com; government-backed rates from RedVentures.
Learn more and get offers from multiple lenders »Adjustable mortgage rates are much higher than fixed rates, so you may want to lock in a low rate while you can.
Rates for conventional mortgages, which you may consider "standard mortgages," are already low right now. But you can usually get an even better rate with a government-backed mortgage through the FHA and VA, depending on which term length you choose. Government mortgages are good options if you're eligible.
Refinance rates today: Tuesday, May 18, 2021| Mortgage type | Average rate today |
| 15-year fixed | 2.67% |
| 30-year fixed | 3.74% |
| 7/1 ARM | 4.35% |
| 10/1 ARM | 4.68% |
| 30-year FHA | 2.80% |
| VA mortgage loan | 2.66% |
Conventional rates from Money.com; government-backed rates from RedVentures.
Compare offers from refinancing lenders »The lowest refinance rates today are the 15-year fixed rate and the VA rate.
Tips for getting a low mortgage rateWhile mortgage rates have increased since last Tuesday, they are still at all-time lows. You may consider securing a solid rate.
However, you probably won't see a major rate increase anytime soon, so there's no need to hurry. Rates will likely stay low for several months, if not longer. You have the chance to improve your financial standing and get a lower rate.
To obtain the best rate possible, think about these steps before applying:
- Boost your credit score by making timely payments, paying down debt, or letting your credit age. You'll get a better interest rate with a higher score, and a lot of lenders will reduce your rate with a score of at least 700.
- Put down more for your down payment. The smallest down payment required will be contingent on which type of mortgage you want. You'll likely get a more favorable rate with a higher down payment.
- Reduce your debt-to-income ratio. Your DTI ratio is the amount you pay toward debts each month, divided by your gross monthly income. To boost your ratio, pay down debts or seek out opportunities to increase your income.
You can lock in a low rate now if your finances are looking good, but you don't need to rush to get a mortgage or refinance if you're not ready. However, keep in mind that homes are selling fast. So if you know you'll be ready to buy in the next couple of months, you may want to get a set rate soon so you can act quickly when it's time to buy.
Mortgage and refinance rates trendsMortgage rate trends| Mortgage type | Average rate today | Average rate last week | Average rate last month |
| 15-year fixed | 2.48% | 2.39% | 2.51% |
| 30-year fixed | 3.35% | 3.23% | 3.35% |
| 7/1 ARM | 4.14% | 4.10% | 4.29% |
| 10/1 ARM | 4.02% | 3.73% | 3.92% |
All mortgage rates have increased since last Tuesday, the most significant being the 10/1 ARM rate.
Since this time last month, 15-year fixed rates and 7/1 ARM rates are down, 10/1 ARM rates are up, and 30-year fixed rates have held steady.
Refinance rate trends| Mortgage type | Average rate today | Average rate last week | Average rate last month |
| 15-year fixed | 2.67% | 2.61% | 2.72% |
| 30-year fixed | 3.74% | 3.58% | 3.68% |
| 7/1 ARM | 4.35% | 4.31% | 4.58% |
| 10/1 ARM | 4.68% | 4.46% | 4.54% |
Refinance rates have risen across the board since last Tuesday. The 30-year fixed and 10/1 ARM rates have increased since this time last month, while 15-year fixed and 7/1 ARM rates have decreased.
15-year fixed-rate mortgagesA 15-year fixed mortgage locks in your rate for the entire 15 years you spend paying down your loan.
You'll pay more per month on a 15-year mortgage than on a longer term, because you're paying off the same loan principal in fewer years.
But you'll pay less overall on a 15-year mortgage than on a longer-term mortgage. Lenders charge lower rates on shorter terms, and you'll be paying interest for a shorter amount of time.
30-year fixed-rate mortgagesIf you take out a 30-year fixed mortgage, it will take you 30 years to pay down your mortgage, and you'll pay the same interest rate the whole time.
You'll make smaller monthly payments with a 30-year term than a shorter term, because you are spreading your payments out over more years.
However, it will cost you more total interest with a 30-year fixed mortgage than a 15-year fixed mortgage since you're paying a higher interest rate for an extended period.
ARMsWith an adjustable-rate mortgage, your rate is locked in for the first few years. Then the rate changes periodically.
A 7/1 ARM keeps your rate the same for the first seven years, then changes it annually. A 10/1 ARM keeps your rate the same for the first decade, then alters it once per year. Some lenders offer ARMs that change your rate more or less often, like six months or five years.
ARM rates are low right now, but fixed-rate mortgages are still the better deal. Fixed rates are starting lower than ARM rates, and because rates are at all-time lows, you may want to lock in a good rate rather than risk an increase later.
If you're considering an ARM, you should still ask your lender about what your individual rates would be if you chose a fixed-rate versus adjustable-rate mortgage.
Government home loansWe've also provided rates for FHA and VA mortgages. These are two types of government-backed mortgages. Another type is a USDA mortgage, a less common loan for buyers who live in rural areas.
Government-backed mortgages are backed by government agencies. If you default on your payments, the agency compensates the lender. Because these mortgages are less risky than conventional mortgages, lenders are more lax about your credit score, debt-to-income ratio, or down payment. They also tend to come with lower interest rates.
Government-backed mortgages can be great deals if you qualify. Here are your options:
- FHA mortgage: This type of loan isn't limited to a certain type of person. But it's especially useful if your credit score isn't high enough to qualify for a conventional mortgage.
- VA mortgage: You may be eligible if you're an active military member or veteran.
- USDA mortgage: You'll qualify if you live in a rural area and fall under a certain income limit.
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, and lending. She is also a Certified Educator in Personal Finance (CEPF). Over her five years of covering personal finance, she has written extensively about ways to navigate loans.
Ryan Wangman is a reviews fellow at Personal Finance Insider reporting on mortgages, refinancing, bank accounts, bank reviews, and loans. In his past experience writing about personal finance, he has written about credit scores, financial literacy, and homeownership.
Related Content Module: More Mortgage CoverageSee Also:
