Today’s Mortgage and Refinance Rates: June 17, 2022

Interest Rates

On Wednesday, the Federal Reserve announced another 75 basis point rate hike. According to Federal Reserve Chair Jerome Powell, the Fed’s attempt to deal with inflation without causing a recession is still possible, even though they cannot control all the factors causing it.

“I think what’s in the SEP would certainly meet that test,” Powell said, referencing the Fed projections that show inflation nearing 2% with inflation just over 4% in 2024.

“We’re trying to achieve 2% inflation with a strong labor market — that’s what we’re trying to do,” he added.

Mortgage rates today

Mortgage typeAverage rate today
30-year fixed5.47%
20-year fixed5.29%
15-year fixed4.60%
7/1 ARM5.39%
5/1 ARM4.86%
30-year FHA4.64%
30-year VA4.68%
This information has been provided byZillow.

“Today’s announcement confirms the Fed’s commitment to fight the inflation battle more aggressively despite the potential aftermath from raising rates at such a rapid pace,” the Allianz Investment Management’s senior investment strategist  Charlie Ripley said. “Overall, Fed policy rates have been out of sync with the inflation story for some time and the aggressive hikes from the Fed should appease markets for the time being.”

With inflation going up again (highest since 1981), mortgage rates increased too. The U.S. Department of Labor – Bureau of Labor Statistics has just released a press release reporting that: “The Consumer Price Index for All Urban Consumers (CPI-U) increased 1.0 percent in May on a seasonally adjusted basis after rising 0.3 percent in April.” The Consumer Price Index (CPI) is a measure of how much prices for goods and services have changed over time.

A number of criteria, including the property location, loan size, loan type, occupancy type, property type, loan-to-value ratio, and credit score, might influence the rate, points, and APR. Your actual rate and points may be greater or lower than those quoted, based on information about these factors that are only available after you apply.

Refinance rates today

Mortgage typeAverage rate today
30-year fixed5.46%
20-year fixed5.31%
15-year fixed4.63%
7/1 ARM5.11 %
5/1 ARM4.89%
30-year FHA4.57%
30-year VA4.81%
This information has been provided by Zillow.

To choose how much interest you’ll pay and if your rate may vary later, you can pick between a fixed-rate mortgage and an adjustable-rate mortgage. A fixed-rate mortgage has an interest rate that stays the same throughout the duration of the loan. If you had a 30-year mortgage, the rate you pay today will be the same as it will be in 30 years. An adjustable-rate mortgage, or ARM, has rates and monthly payments that remain constant for a fixed length of time before changing on a regular basis. A 5/1 ARM (adjustable-rate mortgage), for example, has a fixed rate for the first five years and then changes every year after that. There is also a hybrid rate available today. A hybrid adjustable-rate mortgage, or hybrid ARM (sometimes known as a “fixed-period ARM”), combines fixed-rate and adjustable-rate mortgage characteristics. An initial fixed-rate period will be followed by an adjustable-rate period in this form of a mortgage.

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