Use the table below to see how low rates have sunk for [[geo]] borrowers:
How much can you save?
Rates on popular 30-year fixed-rate mortgages are running about an entire percentage point below where were last year at this time. The difference between yesterday's mortgage at 4.5% and today's at 3.5% can be massive in terms of your monthly payment and the total interest you'll pay.
The data firm Black Knight has calculated that 11.3 million U.S. homeowners could save an average $268 a month — more than $3,200 per year — by refinancing their mortgages at today's low rates.
Furthermore, some 1.1 million homeowners have mortgages with rates so high that they could save $500 a month or more — at least $6,000 annually — by doing a refi.
If you're in that group, you seriously need to get moving. Compare refinance offers from multiple banks side by side by visiting LendingTree.
Meanwhile, a homebuyer in [[geo]] who sticks with a $200,000 mortgage for 30 years will pay tens of thousands of dollars less in interest at 3.5% than with a loan at 4.5%.
See the savings for yourself. This calculator shows the kind of monthly payment you can expect from today's low mortgage rates.
Why are mortgage rates so low in [[geo]]?
Mortgage rates have been reeling because investors are worried about the spreading coronavirus and its potential to body-slam the U.S. and global economies.
No one knows how bad the outbreak is going to get. And during periods of uncertainly, people put more of their money into U.S. Treasury bonds, which are seen as a safer investment for troubled times.
As investors pile into Treasuries, the demand makes their prices go up (remember what you learned in school about supply and demand?). And their yields — the interest paid on those securities — go down.
Mortgage rates tend to mimic the yields on 10-year Treasury notes, which have been falling. As the yields drop, so do mortgage rates in [[geo]].
But don't delay, because the savings are too good to put off. Comparison shop for the best mortgage rate in [[geo]], and lock one in today.