<\/p>\n
\n If you’re here looking for lower mortgage interest rates, today is definitely not your day.<\/span>\n <\/p>\n<\/p><\/div>\n \n The average interest rate on a 30-year, fixed-rate mortgage has surged to 6.48% APR, as reported by Zillow to NerdWallet. This marks a 15 basis point increase from yesterday and a 19 basis point rise from just a week ago. (Refer to our chart below for more specifics.) To clarify, a basis point is one one-hundredth of a percentage point.<\/span>\n <\/p>\n<\/p><\/div>\n \n Mortgage rates are in constant flux, and if you’re monitoring them daily, expect to see significant volatility. To gain a clearer perspective, consider examining a broader time frame, such as a graph displaying at least a month’s worth of rate data. This approach can help you identify the overall trend.<\/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 one-size-fits-all answer to when to start shopping for a home. What truly matters is whether you can comfortably afford a mortgage at today\u2019s rates.<\/span>\n <\/p>\n<\/p><\/div>\n \n If you can afford it, don\u2019t stress about potentially missing out on lower rates later; refinancing is always an option down the line. Concentrate on getting <\/span> \n NerdWallet\u2019s <\/span> \n If you have a quote that meets your expectations, consider <\/span> \n Rate locks safeguard you from increases while your loan is being processed, and given the market’s constant fluctuations, that peace of mind can be invaluable.<\/span>\n <\/p>\n<\/p><\/div>\n \n \ud83e\udd13 <\/span> \n Refinancing could be beneficial 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 Given the current rates, you might want to consider refinancing if your existing rate is around 6.98% or higher.<\/span>\n <\/p>\n<\/p><\/div>\n \n Also, think about your goals: Are you aiming to lower your monthly payment, shorten your loan term, or convert home equity into cash? For instance, you might be more inclined to accept a higher rate for a <\/span> \n If you’re in search of 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, global news… you name it. Even minor fluctuations 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 looking forward to the Personal Consumption Expenditures Index (PCE) set to release on Friday, Sept. 26. The central bank opted to cut rates to support the labor market instead of holding or raising rates to curb inflation. <\/span>
\n
\n PCE is a key measure of inflation<\/span><\/span>
\n <\/a>
\n , providing another data point 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 using this time to pay down existing debts and bolster your down payment savings. This strategy 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 provides a float-down option. This feature 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 fluctuate daily, and even hourly. If you\u2019re satisfied with your current 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 compared to a rate-and-term refinance, provided the overall costs are lower than maintaining 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 potential savings and understand 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