{"id":3938,"date":"2019-09-15T19:59:13","date_gmt":"2019-09-16T00:59:13","guid":{"rendered":"https:\/\/riverbankfinance.com\/blog\/?p=3938"},"modified":"2019-09-15T19:59:13","modified_gmt":"2019-09-16T00:59:13","slug":"what-are-todays-mortgage-rates","status":"publish","type":"post","link":"https:\/\/riverbankfinance.com\/blog\/what-are-todays-mortgage-rates\/","title":{"rendered":"What are Today&#8217;s Mortgage Rates?"},"content":{"rendered":"\n<p>There is a lot of confusion when it comes to mortgage rates. You may see rates on the news, TV commercials, internet ads and promotions at your bank but what really are the <strong>today&#8217;s mortgage rates<\/strong>?<\/p>\n\n\n\n<div class=\"wp-block-button aligncenter\"><a class=\"wp-block-button__link has-background has-vivid-cyan-blue-background-color\" href=\"https:\/\/riverbankfinance.com\/appGoogle\/\">Get a Mortgage Quote<\/a><\/div>\n\n\n\n<p>The answer to this question is not straight forward to understand. When it comes to mortgage rates, there is not just a rate that a bank or lender is giving out for the day. Mortgage rates are determined by several factors including: <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>loan type<\/li><li>credit<\/li><li>loan-to-value ratios<\/li><li>loan term <\/li><li>loan costs<\/li><li>location<\/li><li>property type<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Mortgage Rates for Loan Types<\/h2>\n\n\n\n<p>When comparing <a href=\"https:\/\/riverbankfinance.com\/michigan-mortgage-rates.html\">mortgage rates<\/a>, it is important to look at what loan type is best for your situation. Generally speaking, government insured mortgages such as <a href=\"https:\/\/riverbankfinance.com\/mortgage-programs\/fha-mortgage.html\">FHA Loan<\/a>, <a href=\"https:\/\/riverbankfinance.com\/mortgage-programs\/va-loan.html\">VA Loan<\/a> and <a href=\"http:\/\/USDA Loan\">USDA loans<\/a> have lower rates than <a href=\"https:\/\/riverbankfinance.com\/mortgage-programs\/conventional-mortgage.html\">Conventional Loans<\/a>. <\/p>\n\n\n\n<p>While the rates may be lower, there are other factors to\nconsider such as up-front funding fees that the government charges and mortgage\ninsurance premiums. If you have great credit or a large down payment, you may\nbe better off with a conventional mortgage loan.<\/p>\n\n\n\n<div class=\"wp-block-button aligncenter\"><a class=\"wp-block-button__link has-background has-vivid-cyan-blue-background-color\" href=\"https:\/\/riverbankfinance.com\/appGoogle\/\">Get a Mortgage Quote<\/a><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Mortgage Rates based on Loan-to-Value Ratios (LTV)<\/h2>\n\n\n\n<p>Mortgages are based on risk for the investors that fund the\nloans. One measurement of risk is the loan-to-value (LTV). For example, if a\nloan is based on 50% of the home\u2019s value, there is little risk of loss for the lender\nif the home is foreclosed therefore mortgage rates are lower.<\/p>\n\n\n\n<p>Mortgage rates based on LTV is not always linear. For example, mortgage rates are typically lower for a 15% down payment than if a borrower applies a 20% down payment. This is due to loan level price adjustments (LLPAs). <\/p>\n\n\n\n<p>While this is counter intuitive, this is because a lender would have some form of mortgage insurance to protect against loss at 15% down but none at 20% down. To get the lowest rates based on LTV, we recommend a 25% down payment.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Mortgage Rates Based on Loan Term<\/h2>\n\n\n\n<p>Mortgage rates vary based on the term of the loan. The\nshorter the loan term, the lower the interest rates. 15 year fixed rates\nmortgage may have a lower rate than a 30 year fixed rate mortgage. <\/p>\n\n\n\n<p>With shorter terms, the rate may be slightly lower however\nthe mortgage payment will be more because you are repaying your loan more quickly.\n<\/p>\n\n\n\n<p>Today\u2019s mortgage rates are very close for 15 year and 30\nyear mortgages. It may make sense to seek a 30 year fixed rate and simply pay\nextra principal payments.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Loan Fees and Discount Points for Mortgage Rates<\/h2>\n\n\n\n<p>The biggest factor when comparing mortgage rates is the\ncosts to get the loan. Be certain to compare the lender fees and discount\npoints required to get the advertised rates. Most of the big banks and online\nlenders advertise mortgage rates with thousands of dollars in costs to get the\nloan.<\/p>\n\n\n\n<p>Many banks, lenders and credit unions have costs such as applications fees, underwriting fees, processing fees and origination fees which add to the costs to get a mortgage (Riverbank has<strong><em> Zero Lender fees<\/em><\/strong>!). <\/p>\n\n\n\n<p>To get the lowest mortgage rate, you may have to pay discount points. Discount Points are paying extra fees up front to get a lower than market interest rate. Some people may choose to do this because in the long run a lower rate may save them more money than the up-front cost.<\/p>\n\n\n\n<p>For example, you may have the option to pay $2,000 extra at\nclosing to get a .25% lower interest rate; let\u2019s assume this saves you $50 per\nmonth; the break even point would be $2000\/$50 = 3.3 years. In this example if\nyou have the mortgage more than 3.3 years you will save by paying discounts\npoints up front.<\/p>\n\n\n\n<p>In some scenarios paying points may be beneficial, however, discount points are one of the most misleading charges. When the advertised interest rates look very low, it is important to ask what fees are required to get that rate. Many times the big banks and lenders require large upfront costs to get their advertised rates.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">How to Compare Mortgage Rates<\/h2>\n\n\n\n<p>When shopping for a mortgage, there is no truly easy way to compare mortgage rates on your own. Each bank and lender quote rates, fees and charges differently which makes it hard to determine what loan is best for your situation. The best way to compare mortgage rates is to talk with an independent mortgage broker.<\/p>\n\n\n\n<p>Independent mortgage brokers are experience mortgage experts that can advice clients on how to get the best mortgage for their needs.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Why Use a Mortgage Broker to get a Home Loan?<\/h2>\n\n\n\n<p>Using a <a href=\"https:\/\/riverbankfinance.com\/michigan-mortgage-broker.html\">mortgage broker<\/a> to get a home loan is the best way to get a mortgage. A mortgage broker will spend time learning your goals and requirements and compare rates at multiple banks and lenders simultaneously.\u00a0 Mortgage brokers offer wholesale rates which may be lower than a consumer can get going through a retail bank or lender. <\/p>\n\n\n\n<div class=\"wp-block-button aligncenter\"><a class=\"wp-block-button__link has-background has-vivid-cyan-blue-background-color\" href=\"https:\/\/riverbankfinance.com\/michigan-mortgage-broker.html\">Talk to a Mortgage Broker<\/a><\/div>\n\n\n\n<p>The best part about using a mortgage broker is that they do\nnot charge you any fees for their services (for most loan products). They are\ncompensated only by the lender for assisting the clients through the mortgage\nprocess. The end lender would rather compensate a mortgage broker for a loan\nbecause they are cheaper than having to pay employees as loan officers for\ntheir bank directly.<\/p>\n\n\n\n<p>Clients can save a large amount in up-front costs and get a\nvery competitive mortgage rate by working with a mortgage broker. <\/p>\n\n\n\n<p>If you are looking to buy a home or refinance your current\nmortgage, talk with a mortgage broker today by calling us at 800-555-2098 or\nrequesting information below.<\/p>\n\n\n\n<div class=\"wpcf7 no-js\" id=\"wpcf7-f185-o1\" lang=\"en-US\" dir=\"ltr\" data-wpcf7-id=\"185\">\n<div class=\"screen-reader-response\"><p role=\"status\" aria-live=\"polite\" aria-atomic=\"true\"><\/p> <ul><\/ul><\/div>\n<form action=\"\/blog\/wp-json\/wp\/v2\/posts\/3938#wpcf7-f185-o1\" method=\"post\" class=\"wpcf7-form init\" aria-label=\"Contact form\" novalidate=\"novalidate\" data-status=\"init\">\n<fieldset class=\"hidden-fields-container\"><input type=\"hidden\" name=\"_wpcf7\" value=\"185\" \/><input type=\"hidden\" name=\"_wpcf7_version\" value=\"6.1.5\" \/><input type=\"hidden\" name=\"_wpcf7_locale\" value=\"en_US\" \/><input type=\"hidden\" name=\"_wpcf7_unit_tag\" value=\"wpcf7-f185-o1\" \/><input type=\"hidden\" name=\"_wpcf7_container_post\" value=\"0\" \/><input type=\"hidden\" name=\"_wpcf7_posted_data_hash\" value=\"\" \/><input type=\"hidden\" name=\"_wpcf7_recaptcha_response\" value=\"\" \/>\n<\/fieldset>\n<div class=\"ApplyFullHeader\" id=\"apply_form\">\n\t<p class=\"replaceheader\">Request Information Now!\n\t<\/p>\n<\/div>\n<div class=\"blueBox\">\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"your-name\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Your Name (required)\" value=\"\" type=\"text\" name=\"your-name\" \/><\/span>\n\t<\/p>\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"your-email\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-email wpcf7-validates-as-required wpcf7-text wpcf7-validates-as-email\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Your Email (required)\" value=\"\" type=\"email\" name=\"your-email\" \/><\/span>\n\t<\/p>\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"your-phone\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Phone:\" value=\"\" type=\"text\" name=\"your-phone\" \/><\/span>\n\t<\/p>\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"your-goal\"><select class=\"wpcf7-form-control wpcf7-select\" aria-invalid=\"false\" name=\"your-goal\"><option value=\"Purchase\">Purchase<\/option><option value=\"Refinance\">Refinance<\/option><option value=\"Cash Out\">Cash Out<\/option><option value=\"More Information\">More Information<\/option><\/select><\/span>\n\t<\/p>\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"your-message\"><textarea cols=\"40\" rows=\"10\" maxlength=\"2000\" class=\"wpcf7-form-control wpcf7-textarea\" aria-invalid=\"false\" placeholder=\"Your Message:\" name=\"your-message\"><\/textarea><\/span>\n\t<\/p>\n\t<p><span class=\"wpcf7-form-control-wrap\" data-name=\"referer-page\"><input size=\"40\" maxlength=\"400\" class=\"wpcf7-form-control wpcf7-text referer-page\" aria-invalid=\"false\" value=\"\" type=\"text\" name=\"referer-page\" \/><\/span><br \/>\n\t\n\t<\/p>\n\t<p><input class=\"wpcf7-form-control wpcf7-submit has-spinner submit\" type=\"submit\" value=\"Submit Now!\" \/>\n\t<\/p>\n<\/div>\n<div style=\"text-align: justify; color:#666666;font-size: small;\">\n\t<p>By clicking \"Submit Now!\", you consent to receive calls and texts at the number you provided, including marketing by autodialer and prerecorded and artificial voice, and email, from Riverbank Finance LLC about your inquiry and other home-related matters, but not as a condition of any purchase; this applies regardless of whether you check, or leave un-checked, any box above. You also agree to our Privacy Policy and Terms of Use regarding the information relating to you. Msg\/data rates may apply. This consent applies even if you are on a corporate, state or national Do Not Call list. This no obligation inquiry does not constitute a mortgage application. To apply now or get immediate assistance, call us at 1-800-555-2098.\n\t<\/p>\n<\/div><p style=\"display: none !important;\" class=\"akismet-fields-container\" data-prefix=\"_wpcf7_ak_\"><label>&#916;<textarea name=\"_wpcf7_ak_hp_textarea\" cols=\"45\" rows=\"8\" maxlength=\"100\"><\/textarea><\/label><input type=\"hidden\" id=\"ak_js_1\" name=\"_wpcf7_ak_js\" value=\"78\"\/><script>document.getElementById( \"ak_js_1\" ).setAttribute( \"value\", ( new Date() ).getTime() );<\/script><\/p><div class=\"wpcf7-response-output\" aria-hidden=\"true\"><\/div>\n<\/form>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>There is a lot of confusion when it comes to mortgage rates. You may see rates on the news, TV commercials, internet ads and promotions at your bank but what really are the today&#8217;s mortgage rates? The answer to this question is not straight forward to understand. When it comes to mortgage rates, there is<a class=\"excerpt-read-more\" href=\"https:\/\/riverbankfinance.com\/blog\/what-are-todays-mortgage-rates\/\" title=\"ReadWhat are Today&#8217;s Mortgage Rates?\">&#8230; Read more &raquo;<\/a><\/p>\n","protected":false},"author":1,"featured_media":3941,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[301,1,992,308,305],"tags":[],"class_list":["post-3938","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buying-a-home","category-local-michigan","category-mortgage-rates","category-mortgage-tips","category-refinance-2"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/posts\/3938","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/comments?post=3938"}],"version-history":[{"count":3,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/posts\/3938\/revisions"}],"predecessor-version":[{"id":3946,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/posts\/3938\/revisions\/3946"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/media\/3941"}],"wp:attachment":[{"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/media?parent=3938"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/categories?post=3938"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riverbankfinance.com\/blog\/wp-json\/wp\/v2\/tags?post=3938"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}