Mortgage rates move upward for Friday

Several benchmark mortgage rates climbed today. The average rates on 30-year fixed and 15-year fixed mortgages both increased. Meanwhile, the average rate on 5/1 adjustable-rate mortgages also trended upward.

Rates for mortgages change daily, but they remain low by historical standards. If you’re in the market for a mortgage, it may make sense to lock if you see a rate you like. Just make sure you shop around first.

Compare mortgage rates in your area now.

30-year fixed mortgages
The average rate for the benchmark 30-year fixed mortgage is 4.12 percent, an increase of 10 basis points since the same time last week. A month ago, the average rate on a 30-year fixed mortgage was higher, at 4.21 percent.

At the current average rate, you’ll pay principal and interest of $484.36 for every $100,000 you borrow. That’s $5.79 higher compared with last week.

You can use Bankrate’s mortgage calculator to get a handle on what your monthly payments would be and find out how much you’ll save by adding extra payments. It will also help you calculate how much interest you’ll pay over the life of the loan.

15-year fixed mortgages
The average 15-year fixed mortgage rate is 3.56 percent, up 7 basis points over the last seven days.

Monthly payments on a 15-year fixed mortgage at that rate will cost around $718 per $100,000 borrowed. Yes, that payment is much bigger than it would be on a 30-year mortgage, but it comes with some big advantages: You’ll save thousands of dollars over the life of the loan in total interest paid and build equity much more quickly.

5/1 ARMs
The average rate on a 5/1 ARM is 4.05 percent, ticking up 5 basis points over the last week.

These types of loans are best for those who expect to sell or refinance before the first or second adjustment. Rates could be substantially higher when the loan first adjusts, and thereafter.

Monthly payments on a 5/1 ARM at 4.05 percent would cost about $480 for each $100,000 borrowed over the initial five years, but could ratchet higher by hundreds of dollars afterward, depending on the loan’s terms.

Where rates are headed
To see where Bankrate’s panel of experts expect rates to go from here, check out our Rate Trend Index.