ARMs fall to new record low in June's first mortgage rate survey
The average cost of a five-year, adjustable-rate home loan has plunged to a new record low in Interest.com's latest weekly survey of mortgage rates from major lenders.
The average interest rate for a 5/1 ARM fell to 3.39%, the lowest it's been since we began tracking that type of loan in January 2005.
It's the first mortgage rate to reach a new all-time low this year, breaking one of the record low rates that all types of home loans set last November.
But the average cost of the three other major types of financing we track fell to new lows for the year and are approaching the exceptionally affordable interest rates we saw in the fall of 2010.
Our June 1 survey found the average interest rate for a:
30-year, fixed-rate mortgage fell to 4.69% from 4.75% the previous week. Interest rates remain lower than they were this time last year, when a 30-year loan averaged 4.95%.
15-year, fixed-rate mortgage fell to 3.88% from 3.93% the previous week. A year ago, it was 4.36%.
30-year, fixed-rate jumbo loan (for mortgages exceeding $417,000 to $729,750, depending on the city) fell to 5.16% from 5.21% the previous week. A year ago, it was 5.74%.
Our database of mortgage rates can help you find the best deals in your area, including many that are less costly than the national averages.
You can use our mortgage calculator to determine the monthly payments for the exact amount you want to borrow with this or any home loan.
It will also provide a month-by-month amortization schedule that shows how much you've reduced your debt and how much you still owe if you want to pay off your mortgage.
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