Refinance rates on Oct. 29, 2021: Multiple rates drop


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Jim Lane/Getty

A few important refinance rates dropped today, including 10-year fixed, 15-year fixed and 30-year fixed refinances. Refinance interest rates are never set in stone, but rates have been historically low. If you plan to refinance your house, now might be an optimal time to lock in a good rate. Before refinancing, remember to think about your personal needs and financial situation, and speak with different lenders to find the best one for you.

30-year fixed-rate refinance

The average 30-year fixed refinance rate right now is 3.13%, a decrease of 3 basis points compared to one week ago. (A basis point is equivalent to 0.01%.) A 30-year fixed refinance will typically have lower monthly payments than a 15-year or 10-year refinance. This makes 30-year refinances good for people who are having difficulties making their monthly payments or simply want a bit more breathing room. In exchange for the lower monthly payments though, rates for a 30-year refinance will typically be higher than 15-year and 10-year refinance rates. You’ll also pay off your loan slower.

15-year fixed-rate refinance

The current average interest rate for 15-year refinances is 2.44%, a decrease of 1 basis point from what we saw the previous week. With a 15-year fixed refinance, you’ll have a larger monthly payment than a 30-year loan. On the other hand, you’ll save money on interest, since you’ll pay off the loan sooner. 15-year refinance rates are typically lower than 30-year refinance rates, which will help you save even more in the long run.

10-year fixed-rate refinance

The current average interest rate for a 10-year refinance is 2.42%, a decrease of 1 basis points compared to one week ago. A 10-year refinance will typically feature the highest monthly payment of all refinance terms, but the lowest interest rate. A 10-year refinance can be a good deal, since paying off your house sooner will help you save on interest in the long run. You should confirm that you can afford a higher monthly payment by evaluating your budget and overall financial situation.

Where rates are headed

We track refinance rate trends using information collected by Bankrate, which is owned by CNET’s parent company. Here’s a table with the average refinance rates supplied by lenders across the country:

Average refinance interest rates

ProductRateA week agoChange
30-year fixed refinance3.13%3.16%-0.03
15-year fixed refinance2.44%2.45%-0.01
10-year fixed refinance2.42%2.43%-0.01

Rates as of Oct. 29, 2021.

How to find personalized refinance rates

It’s important to understand that the rates advertised online may not apply to you. Your interest rate will be influenced by market conditions as well as your credit history and application.

Generally, you’ll want a high credit score, low credit utilization ratio, and a history of making consistent and on-time payments in order to get the best interest rates. Researching interest rates online is always a good idea, but you’ll need to connect with a mortgage professional to get your exact refinance rate. Also remember to account for potential fees and closing costs.

You should also know that many lenders have had stricter requirements when it comes to approving loans in the past few months. If you have a low credit score or a poor credit history, you might have trouble getting a refinance at the lowest interest rates.

To get the best refinance rates, you’ll first want to make your application as strong as possible. The best way to improve your credit ratings is to get your finances in order, use credit responsibly, and monitor your credit regularly. You should also shop around with multiple lenders and compare offers to make sure you’re getting the best rate.

When to consider a mortgage refinance

Generally, it’s a good idea to refinance if you can get a lower interest rate than your current interest rate or if you need to change your loan term. Interest rates in the past few months have been low, but that’s not the only thing you should be looking at when deciding whether to refinance.

To decide whether a refinance is right for you, consider all of the factors including how long you plan to stay in your current home, the length of your loan term and the amount of your monthly payment. And don’t forget about fees and closing costs, which can add up.

Some lenders have tightened their requirements in recent months, so you may not be able to get a refinance at the posted interest rates– or even a refinance at all — if you don’t meet their standards. Refinancing can be a great move if you get a good rate or can pay off your loan sooner. Consider carefully whether it’s the right choice for you.



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