Yes, mortgage interest rates are higher today, but only by a little.
The average interest rate on a 30-year, fixed-rate mortgage rose to 5.99% APR, according to rates provided to NerdWallet by Zillow. This is eight basis points higher than yesterday and eight basis points higher than a week ago. (See our chart below for more specifics.) A basis point is one hundredth of a percentage point.
If you’ve been watching this space closely while waiting for mortgage rates to drop, don’t be too disheartened. Lenders adjust their advertised rates throughout the day, so mortgage rates react quickly to any news – good or bad. To understand whether daily moves are one-offs or part of a series, you need to look at the larger trend.
Average Mortgage Rates, Last 30 Days
📉 When will mortgage rates fall?
The Bureau of Labor Statistics released the February jobs report on March 6, with the key numbers coming in well below expectations. The US lost 92,000 jobs last month, compared with an estimated gain of 50,000.
“This jobs report changes the calculations for the Fed meeting in a few weeks – the labor market remains at an uncertain level,” says Elizabeth Renter, senior economist at NerdWallet. The Fed’s central bankers meeting is scheduled to be held on March 17-18.
He will be tasked with balancing the employment situation with inflation. We’ve got two key inflation reports this week – the Consumer Price Index (CPI), which came out yesterday, and the Personal Consumption Expenditure (PCE), which is out tomorrow. The CPI showed no surprises and showed that inflation remained stable in February.
While central banks will certainly be looking at inflation data, it is already out of date. The US has since entered a new (potentially costly) war in the Middle East, and any effects of this on inflation, such as higher energy prices, have not yet been reflected in this data. The Fed is more likely to keep rates steady for now until more information becomes available.
If today’s rates are at least 0.5 to 0.75 percent lower than your current rate (and if you plan to stay in your home long enough to even cover closing costs), refinancing may make sense.
Rates Where They Are Now If your current rate is around 6.49% or higher, you may want to start considering a refi.
🏡Should I start shopping for a home?
There’s no universal “right” time to start shopping – the important thing is whether you can comfortably afford a mortgage at today’s rates.
🔒Should I lock my rate?
When your loan is processed, a rate lock protects you from increases, and the market is always on the rise, the peace of mind may be worth it.
🤓 Stupid reminder: Rates may change daily and even hourly. If you’re happy with your deal, it’s okay to commit.
🧐 Why is the rate I saw online different from the rate I received?
In addition to market factors beyond your control, your customized quote depends on your:
even two people with the same credit score Depending on their overall financial profile, one may get different rates.
👀 If I apply now, can I get the rate I saw today?
Maybe – but also personalized rate quotes Can change until you lock. This is because lenders adjust pricing several times a day in response to market changes.