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Current Mortgage Rates — November 25: Rates Fall Slightly on Fixed-Rate Loans

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Mortgage rates on Wednesday Nov. 25 have fallen slightly on all fixed-rate loan options. Here's what today's mortgage rates look like.

Mortgage Type Today's Interest Rate
30-year fixed mortgage 2.803%
20-year fixed mortgage 2.678%
15-year fixed mortgage 2.311%
5/1 ARM 3.224%

DATA SOURCE: THE ASCENT'S NATIONAL MORTGAGE INTEREST RATE TRACKING.

30-year mortgage rates

The average 30-year mortgage rate today is 2.803%, down 0.004% compared with yesterday's average rate of 2.807%. A mortgage loan at today's average interest rate would cost you $411 per $100,000 borrowed. During your entire loan repayment period, you'd pay total interest costs of $47,979 per $100,000 borrowed.

Check out The Ascent's mortgage calculator to see what your monthly payment might be and how much your loan will ultimately cost. Also learn how much money you'd save by snagging a lower interest rate, making a larger down payment, or choosing a shorter loan term.

20-year mortgage rates

The average 20-year mortgage rate today is 2.678%, down 0.006% compared with yesterday's average rate of 2.684%. At today's average rate, the monthly principal and interest payment would add up to $539 per $100,000 in mortgage debt. Your total interest costs over the life of the loan would equal $29,268 per $100,000 borrowed.

Although the average rate is lower on a 20-year loan than a 30-year loan, the monthly payment is higher due to the fact you must pay off the loan 10 years sooner. Of course, your total interest costs are much lower since you're cutting off 10 years of interest payments.

15-year mortgage rates

The average 15-year mortgage rate today is 2.311%, down 0.005% compared with yesterday's average rate of 2.316%. Borrowing at today's average rate would leave you with a monthly principal and interest payment of $658 per $100,000 in mortgage debt. Total interest costs over the life of the loan would be $18,427 for each $100,000 borrowed.

A 15-year loan has an even shorter repayment timeline than a 20-year loan, so monthly payments are even higher despite the fact the average interest rate is very low. Total interest savings is substantial, though, when you repay your loan in half the time compared with a 30-year loan.

5/1 ARMs

The average 5/1 ARM rate is 3.224%, up 0.024% compared with yesterday's average rate of 3.200%. ARM stands for adjustable-rate mortgage.

There is no reason to secure an adjustable-rate loan when you'd be paying a starting interest rate that's higher than on a fixed-rate loan, and there's a very good chance rates will adjust upward over time since they're currently near record lows.

Should I lock my mortgage rate now?

A mortgage rate lock guarantees you a certain interest rate for a specified period of time -- usually 30 days, though you may be able to secure your rate for up to 60 days. You'll generally pay a fee to lock in your mortgage rate, but that way, you're protected in case rates climb between now and when you actually close on your mortgage.

If you plan to close on your home within the next 30 days, then it pays to lock in your mortgage rate based on today's rates -- especially since they're so competitive. But if your closing is more than 30 days away, you may want to choose a floating rate lock instead for what will usually be a higher fee, but one that could save you money in the long run. A floating rate lock lets you secure a lower rate on your mortgage if rates fall prior to your closing, and while today's rates are still quite low, we don't know if rates will go up or down over the next few months. As such, it pays to:

  • LOCK if closing in 7 days
  • LOCK if closing in 15 days
  • LOCK if closing in 30 days
  • FLOAT if closing in 45 days
  • FLOAT if closing in 60 days

Before locking in, you should get rate quotes from at least three of the best mortgage lenders to ensure you're getting a loan at the most competitive possible rate.

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