Today’s Mortgage and Refinance Rates: May 10, 2022

Mortgage Rates

The Consumer Price Index increased by 8.5 percent in the last year, the fastest pace of inflation since 1981. Following increases in March and May, the Federal Reserve aims to raise the federal fund’s target rate five more times this year to bring inflation under control.

Most experts projected that mortgage rates would rise this year, but they did so much faster than expected, with 30-year fixed loan rates breaking past 5% in April for the first time in more than a decade. 

“I believe the rates being above 5% will become a norm, and I don’t see a significant downward movement in the near future,” says Ralph DiBugnara, president of Home Qualified and senior vice president of Cardinal Financial.

“I still believe we are in a market that is advantageous to buy or own in,” DiBugnara says. “Higher rates mean less buying power in some cases, but rent is rising as fast or faster than home prices because of inflation, making buying the more ideal option for many.”

Mortgage rates today

Mortgage typeAverage rate today
30-year fixed5.17%
20-year fixed4.68%
10-year fixed4.25 %
7/1 ARM4.47 %
5/1 ARM4.49 %
30-year FHA4.36%
30-year VA4.49 %

This information has been provided by Zillow. See more mortgage rates on Zillow

Refinance rates today

Mortgage typeAverage rate today
30-year fixed5.09%
20-year fixed4.97%
10-year fixed4.24 %
7/1 ARM4.88 %
5/1 ARM4.59 %
30-year FHA4.86%
30-year VA4.45%

This information has been provided by Zillow. See more mortgage rates on Zillow

Mortgage rates typically vary from lender to lender. A number of factors such as the borrower’s credit history, down payment amount, or the home’s value, as well as inflation, job growth, and other economic factors, affect these rates. So, 2022 has been characterized by rising rates. Many experts think the average rate on this loan will be 3.5 to 4 percent by the end of 2022.

You can choose between two types of mortgages to determine how much interest you’ll pay and if your rate will change later: a fixed-rate mortgage or an adjustable-rate mortgage. With a fixed-rate mortgage, your interest rate remains the same for the entire life of the loan. If you have a 30-year mortgage, you’ll pay the same rate today as you will 30 years from now. With an adjustable-rate mortgage, commonly referred to as an ARM, rates and monthly payments remain the same for a set period of time, then change periodically. For example, a 5/1 ARM (adjustable-rate mortgage) would have a fixed rate for the first five years of the loan, then change every year after that.

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