<\/p>\n
\n Yes, mortgage interest rates are higher today, but only by a little.<\/span>\n <\/p>\n<\/p><\/div>\n \n The average interest rate on a 30-year, fixed-rate mortgage has climbed to 6.37% APR, as reported by Zillow to NerdWallet. This marks an increase of five basis points from yesterday, yet it is 11 basis points lower than a week ago. (Refer to our chart below for more specifics.) A basis point is one one-hundredth of a percentage point.<\/span>\n <\/p>\n<\/p><\/div>\n \n If you’re closely monitoring mortgage rates in hopes of a decline, don\u2019t be too discouraged. Lenders frequently adjust their advertised rates throughout the day, leading to quick reactions to any news\u2014whether positive or negative. To truly understand the market, it\u2019s essential to observe the broader trend rather than fixating on daily fluctuations.<\/span>\n <\/p>\n<\/p><\/div>\n \n Average mortgage rates, last 30 days<\/span><\/span>\n <\/p>\n<\/p><\/div>\n<\/p><\/div>\n \n Mortgage rates are <\/span> \n Following the <\/span> \n There is no universal \u201cright\u201d time to start shopping; what matters is whether you can comfortably afford a mortgage at today\u2019s rates.<\/span>\n <\/p>\n<\/p><\/div>\n \n If the answer is yes, don\u2019t dwell on the possibility of lower rates later; refinancing is always an option down the road. Focus on obtaining <\/span> \n NerdWallet\u2019s <\/span> \n If you have a quote you\u2019re satisfied with, consider <\/span> \n Rate locks shield you from increases while your loan is processed, and given the market’s volatility, that peace of mind can be invaluable.<\/span>\n <\/p>\n<\/p><\/div>\n \n \ud83e\udd13 <\/span> \n Refinancing may be worthwhile if today\u2019s rates are at least 0.5 to 0.75 percentage points lower than your current rate, and if you plan to stay in your home long enough to recoup closing costs.<\/span>\n <\/p>\n<\/p><\/div>\n \n With current rates, you might want to consider refinancing if your existing rate is around 6.87% or higher.<\/span>\n <\/p>\n<\/p><\/div>\n \n Also, think about your objectives: Are you aiming to lower your monthly payment, shorten your loan term, or convert home equity into cash? For instance, you might be more comfortable accepting a higher rate for a <\/span> \n If you’re seeking a lower rate, utilize NerdWallet’s <\/span>\n \ud83d\udcc9 When will mortgage rates drop? <\/span><\/span>
\n <\/h3>\n<\/p>\n
\n constantly changing,<\/span><\/span>
\n as a significant part of <\/span>
\n
\n how rates are set<\/span><\/span>
\n <\/a>
\n is influenced by reactions to new inflation reports, job numbers, Fed meetings, and global news. Even minor shifts in the bond market can impact mortgage pricing.<\/span>\n <\/p>\n<\/p><\/div>\n
\n
\n Fed’s Sept. 17 rate cut<\/span><\/span>
\n <\/a>
\n , our Nerds are anticipating the release of the Personal Consumption Expenditures Index (PCE) on Friday, Sept. 26. The Fed decided to cut rates to support the labor market rather than maintain or increase rates to combat inflation. <\/span>
\n
\n PCE is a key measure of inflation<\/span><\/span>
\n <\/a>
\n , providing critical data that could influence further rate cuts this year or prompt the Fed to adopt a more restrictive policy stance.<\/span>\n <\/p>\n<\/p><\/div>\n\n \ud83c\udfe1 Should I start shopping for a home?<\/span><\/span>
\n <\/h3>\n<\/p>\n
\n
\n preapproved<\/span><\/span>
\n <\/a>
\n , comparing lender offers, and understanding what monthly payment fits your budget.<\/span>\n <\/p>\n<\/p><\/div>\n
\n
\n affordability calculator<\/span><\/span>
\n <\/a>
\n can assist you in estimating your potential monthly payment. If purchasing a new home isn\u2019t feasible right now, consider strengthening your buyer profile. Use this time to reduce existing debts and increase your down payment savings. This not only enhances your cash flow for future mortgage payments but may also secure you a better interest rate when you’re ready to buy.<\/span>\n <\/p>\n<\/p><\/div>\n\n \ud83d\udd12 Should I lock my rate?<\/span><\/span>
\n <\/h3>\n<\/p>\n
\n
\n locking your mortgage rate<\/span><\/span>
\n <\/a>
\n , especially if your lender offers a float-down option. This allows you to benefit from a better rate if the market drops during your lock period.<\/span>\n <\/p>\n<\/p><\/div>\n
\n Nerdy Reminder:<\/span><\/span>
\n Rates can change daily, and even hourly. If you\u2019re satisfied with your deal, it\u2019s perfectly fine to commit.<\/span>\n <\/p>\n<\/p><\/div>\n<\/p><\/div>\n\n \ud83d\udd01 Should I refinance?<\/span><\/span>
\n <\/h3>\n<\/p>\n
\n
\n cash-out refinance<\/span><\/span>
\n <\/a>
\n than for a rate-and-term refinance, provided the overall costs are lower than keeping your original mortgage and adding a HELOC or home equity loan.<\/span>\n <\/p>\n<\/p><\/div>\n
\n
\n refinance calculator<\/span><\/span>
\n <\/a>
\n to estimate your savings and determine how long it would take to break even on refinancing costs.<\/span>\n <\/p>\n<\/p><\/div>\n\n \ud83e\uddd0 Why is the rate I saw online different from the quote I got?<\/span><\/span>
\n <\/h3>\n<\/p>\n