Mortgage rates for Jan. 25, 2022: Rates stay steady after volatile week
This could be a big week for mortgage rate movement: The results from the most recent 5-year treasury auction will be announced later today and the next Fed meeting details will be public tomorrow. Depending on what comes out of those developments, rates could go up or down over the next few days. But for today, Jan. 25, 2022, Rate mortgage rates are holding relatively firm day over day (DOD).
For anyone paying attention to our mortgage rate updates, that lack of movement could come as a surprise. Last week saw plenty of volatility, with rates moving in either direction from day to day. That just goes to show how quickly conditions can change, so keep an eye on current mortgage rates to watch for emerging trends.
30-year fixed rate
It’s a bit of a mixed bag for 30-year fixed rate loans today. Interest rates haven’t budged DOD, and are actually down a bit week over week (WOW). However, rates are still down month over month (MOM) and haven’t completely rebounded from earlier dips. With our borrower profile, you’d spend $1,342.95* on your mortgage.
- Today’s rate: 3.475%
- DOD change: 0
- WOW change: down 15 basis points**
- MOM change: up 35 basis points
- Today’s APR: 3.572%
- DOD change: 0
- WOW change: down 15.2 basis points
- MOM change: up 35.3 basis points
15-year fixed rate
Of all tracked loan types, the 15-year fixed rate loan is the only one heading downward today. Rates are lower right now than they were yesterday or last week. On the other hand, rates are significantly higher compared with last month. What does that mean for your mortgage payment? Using our current loan terms, your monthly installment would be $2,035.86.*
- Today’s rate: 2.750%
- DOD change: down 12.5 basis points
- WOW change: down 12.5 basis points
- MOM change: up 50 basis points
- Today’s APR: 2.918%
- DOD change: down 12.7 basis points
- WOW change: down 12.7 basis points
- MOM change: up 50.5 basis points
FHA 30-year fixed rate
Meanwhile, on the government-insured mortgage front, FHA 30-year fixed rate loans are holding firm — at least day over day. Rates are down a bit week over week, but up month over month. As of now, your monthly mortgage payment would be $1,326.29.*
- Today’s rate: 3.375%
- DOD change: 0
- WOW change: down 12.5 basis points
- MOM change: up 25 basis points
- Today’s APR: 4.165%
- DOD change: 0
- WOW change: down 12.9 basis points
- MOM change: up 25.7 basis points
5-year ARM
Looking at adjustable rate mortgages (ARMs) conditions are somewhat rosy for 5-year ARMs. While there’s been no overnight movement, rates are down week over week. With these loan terms, you would pay $1,285.13* on your mortgage each month.
- Today’s rate: 3.125%
- DOD change: 0
- MOM change: down 12.5 basis points
- Today’s APR: 2.972%
- DOD change: 0
- MOM change: down 4.4 basis points
7-year ARM
We can’t say the same for 7-year ARM loans. Interest rates have gone up from both yesterday’s and last month’s positions. It’ll be interesting to see how ARM rates respond to the results of the upcoming Federal Reserve meeting. As of today, though, your monthly mortgage payment on a 7-year ARM would be $1,326.29.*
- Today’s rate: 3.375%
- DOD change: up 12.5 basis points
- MOM change: up 37.5 basis points
- Today’s APR: 3.132%
- DOD change: up 5.9 basis points
- MOM change: up 17.5 basis points
10-year ARM
Looking at 10-year ARM rate activity from a daily, weekly and monthly perspective, rate movement is kind of all over the place. Although rates have held firm overnight, they’re down week over week. And similar to 30-year fixed rate loans, interest rates on 10-year ARMs have increased month over month. If you locked in your rate today, you’d spend $1,305.62* on your mortgage installment each month.
- Today’s rate: 3.250%
- DOD change: 0
- WOW change: down 25 basis points
- MOM change: up 37.5 basis points
- Today’s APR: 3.147%
- DOD change: 0
- WOW change: down 15.6 basis points
- MOM change: up 23 basis points
Today’s takeaway
Rates have held pretty firm today, Jan. 25, 2022, all things considered. Interest rates for most major loan types haven’t moved at all day over day. And while 7-year ARM rates increased over yesterday’s positions, 15-year fixed rate loan rates actually went down.
We always stress that current rate positions are temporary, and that couldn’t be more true today. With some pretty big announcements coming down the pike later this week, expect mortgage rates to change over the next few days. Whether that will be good news for borrowers and homebuyers is yet to be determined.
Locking in your rate today could net you more favorable loan terms in the event that rates go up from here. If you’re in the market for a traditional or cash-out refi and want to take advantage of today’s rate positions, then get started today. Our mortgage experts are ready to help you find the right loan and the right financing terms to suit your needs.
Disclaimer
*Above scenarios assume a first lien position, 40 day rate lock on a primary residence and are subject to change without notice. Subject to underwriting guidelines and applicant’s credit profile. The actual interest rate, APR and payment may vary based on the specific terms of the loan selected, verification of information, your credit history, the location and type of property, and other factors as determined by Lender. Contact Rate for more information and up to date rates
**Basis points measure the percentage change on interest rates. One basis point represents a 0.01% shift.
Interest rates are based on a borrower profile fitting the following criteria:
- Zip code: 60031
- Home type: Single-family house
- Purchase price: $375,000
- Down payment: 20% ($75,000)
- Mortgage balance: $300,000
- FICO score: 740+
- Military member: No
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