Current National Refinance Rates: June 7, 2024—Rates Decline

The rate on a 30-year fixed refinance declined today.

The current 30-year, fixed-rate mortgage refinance rate is averaging 7.50%, according to Curinos, while 15-year, fixed-rate refinance mortgages average of 6.61%. For 20-year mortgage refinances, the average rate is 7.23%.

Related: Compare Current Refinance Rates

Refinance Rates for June 7, 2024

LOAN TERM	RATE	CHANGE	RATE YESTERDAY
30-Year Fixed Refinance Rate	7.50%	-0.02	7.52%
20-Year Fixed Refinance Rate	7.23%	-0.04	7.27%
15-Year Fixed Refinance Rate	6.61%	+0.00	6.61%
30-Year Jumbo Refinance Rate	7.37%	-0.13	7.50%
15-Year Jumbo Refinance Rate	7.22%	+0.00	7.22%

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30-Year Fixed Refinance Interest Rates

The current 30-year, fixed-rate mortgage refinance is averaging 7.50%, compared to 7.69% last week.

The annual percentage rate (APR) on a 30-year, fixed-rate mortgage is 7.52%, compared to 7.71% last week. The APR is the all-in cost of a home loan—the interest rate including any fees or extra costs.

At the current interest rate of 7.50%, borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $699 per month for principal and interest, according to the Forbes Advisor mortgage calculator. That doesn’t include taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $151,767.

20-Year Refinance Interest Rates

The average interest rate on the 20-year fixed refinance mortgage is 7.23%. One week ago, the 20-year fixed-rate mortgage was at 7.57%.

The APR on a 20-year fixed is 7.26%. This time last week, it was 7.59%.

A 20-year fixed-rate mortgage refinance of $100,000 with today’s interest rate of 7.23% will cost $789 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay around $89,400 in total interest.

15-Year Refinance Interest Rates

For a 15-year fixed refinance mortgage, the average interest rate is currently 6.61% compared to 6.88% at this time last week.

The APR, or annual percentage rate, on a 15-year fixed mortgage is 6.64%. That compares to 6.92% at this time last week.

Using the current interest rate of 6.61%, a 15-year, fixed-rate mortgage refinance of $100,000 would cost $877 per month in principal and interest—not including taxes and fees. That would equal about $57,850 in total interest over the life of the loan.

30-Year Jumbo Refinance Interest Rates

The average interest rate on the 30-year fixed-rate jumbo mortgage refinance is 7.37%. One week ago, the average rate was 7.65%.

Borrowers with a 30-year fixed-rate jumbo mortgage refinance with today’s interest rate of 7.37% will pay $691 per month in principal and interest per $100,000.

15-Year Jumbo Refinance Interest Rates

The average interest rate on the 15-year fixed-rate jumbo mortgage refinance is 7.22%. Last week, the average rate was 7.23%.

Borrowers with a 15-year fixed-rate jumbo mortgage refinance with today’s interest rate of 7.22% will pay $911 per month in principal and interest per $100,000. That means that on a $750,000 loan, you’d pay around $479,931 in total interest over the life of the loan.

Are Refinance Rates and Mortgage Rates the Same?

Refinance rates are different from mortgage rates and tend to be slightly higher. The rate difference can vary by program and is something to consider as you compare the best mortgage refinance lenders.

In addition to having different refinance rates for conventional, FHA, VA and jumbo applications, cash-out refinance rates are higher as you’re borrowing from your available equity.

Rates for government-backed loan programs such as FHA and VA mortgage refinances can be lower than a conventional or jumbo refinance, as there is less risk for lenders. Still, you should compare your estimated loan’s annual percentage rate (APR), which includes all additional fees and determines the interest charges.

When Refinancing Makes Sense

There are a number of reasons why you should refinance your home, but many homeowners consider refinancing when they can lower their interest rate, reduce their monthly payments or pay off their home loan sooner. Refinancing also may help you access your home’s equity or eliminate private mortgage insurance (PMI).

Refinancing your mortgage can make sense if you plan to remain in your home for a number of years. There is, after all, a cost to refinancing that will take some time to recoup. You’ll need to know the loan’s closing costs to calculate the break-even point where your savings from a lower interest rate exceed your closing costs. You can calculate this by dividing your closing costs by the monthly savings from your new payment.

Our mortgage refinance calculator could help you determine if refinancing is right for you.

Is Now a Good Time To Refinance?

Consider refinancing your mortgage when you need a more affordable monthly payment, want to stop paying annual FHA or USDA loan fees or would prefer a fixed interest rate. You may also consider a cash-out refinance to borrow from your home equity.

However, as refinance rates have increased by several percentage points from near-term lows in late 2021, it can be harder to replace your existing interest rate with a lower one, unless you refinance to a 15-year mortgage. As a result, extending your loan term is the one way to reduce your payment, but you can end up paying more total interest.

The application process is similar to buying a home. Plus, home appraisal fees and closing costs from 2% to 6% of the loan amount apply and add to your lifetime borrowing costs.

How To Get Today’s Best Refinance Rates

Refinancing a mortgage isn’t that different than taking out a mortgage in the first place, and it’s always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate:

• Polish up your credit score
• Lower your debt-to-income ratio
• Keep an eye on mortgage rates
• Consider a shorter loan

Having a strong credit score is one of the best things you can do to get approved and get a lower rate. You’re also likely to look better to lenders if you don’t have too much debt relative to your income. You should keep a regular watch on mortgage rates, which fluctuate often. Also see if you can manage a mortgage payment for a shorter loan term since they usually have lower interest rates.

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