Current Mortgage Rates -- March 8, 2022: Rates Tick Up for All Loans

Homeowners should understand average mortgage rates and how those rates will impact borrowing costs. Here's what you need to know.

Mortgage rates ticked up slightly for all loans today and are considerably higher than at the start of the year, despite generally falling since March began. On Jan. 3, 2022, the average interest rate on a 30-year loan was just 3.369% while today it's 4.072%.

Although rates are no longer as competitive as a few short months ago, they remain low by historical standards. Here's what you should know about average mortgage rates today.

Data source: The Ascent's national mortgage interest rate tracking.

30-year mortgage rates

The average 30-year mortgage rate today is 4.072%. This rate is higher than other fixed-rate loans with a shorter payoff term, but monthly payments are more affordable because you're making more of them.

20-year mortgage rates

The average 20-year mortgage rate today is 3.732%. This loan provides a good middle ground for borrowers interested in becoming debt free quickly but not taking on the very high payments that accompany a 15-year mortgage.

15-year mortgage rates

The average 15-year mortgage rate today is 3.276%. This is well below what you'd pay for a 20-year or 30-year loan. But while that makes your mortgage more affordable over time, it makes each monthly payment costly.

5/1 ARMs

The average 5/1 ARM rate is 3.458%. ARMs adjust with a financial index. With rates still below historical averages, it's very likely this loan will grow more expensive over time. Unless you're planning to move or refinance before the rate begins adjusting, it may not be worth the risk.

Is it still a good time to get a mortgage?

It may be discouraging to see rates are higher than in January. But it's important to keep things in perspective.

In the 1970s, average mortgage rates hovered in the high 8% to mid 9% range and in the 1980s, rates topped 16% at one point. Even as recently as the early and mid 2000's, average rates were above 6% in some months.

This means it's still a good time to borrow to buy a home, especially as rates have been falling since the beginning of March despite a slight bump today. Of course, you'll want to make sure you're financially prepared for your purchase as you'll get the most competitive rate if you have good credit and limited debt relative to your income.

To find out what rates are available to you, compare rates from at least three of the best mortgage lenders to see what a loan might cost you.