Compare Refinance Rates Today

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LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
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Current 30 year-fixed mortgage refinance rates are averaging 7.42%

The current average rate for a 15-year fixed mortgage refinance is 6.87%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.
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Current refinance mortgage rates by loan type

Loan Product
Interest Rate
APR
30-year fixed rate refinance
7.42%
7.69%
20-year fixed rate refinance
8.05%
8.19%
15-year fixed rate refinance
6.87%
7.31%
10-year fixed rate refinance
7.15%
7.79%
FHA 30-year fixed rate refinance
6.62%
7.35%
30-year 5/1 ARM refinance
6.60%
7.75%
VA 30-year 5/1 ARM refinance
6.24%
7.27%
VA 30-year fixed rate refinance
6.62%
7.06%
VA 15-year fixed rate refinance
5.95%
6.74%
Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.
Written by Rene Bermudez | Edited by Crissinda Ponder | Updated February 22, 2024

Mortgage refinance rates forecast

Our market expert predicts that rates will 2024 closer to 6%. For now, he recommends cautious optimism with a dash of realism. Rates fell in November and December, finally dipping below 7%. However, as of late February, rates have begun to rise again and are heading in on that 7% threshold.

Compared to last week, rates this week rose for both 30-year and 15-year fixed-rate mortgages by 0.13% and 0.17%, respectively.

Here are the U.S. weekly average rates from the Freddie Mac Primary Mortgage Market Survey, as of February 22, 2024:

  • 30-year fixed-rate mortgage: 6.9%
  • 15-year fixed-rate mortgage: 6.29%

When should you refinance your mortgage?

Unless your current mortgage rate is near or above 8%, refinancing may not make sense right now. There are a few exceptions that may be worth considering, though:

  • You need to switch to a longer loan term. If you took out a short-term loan like a 15-year mortgage and the payment is squeezing your budget, refinancing to a 30-year mortgage could give you some breathing room.
  • Your credit card balances are high. If you’ve racked up some credit card debt but have a large chunk of home equity, a cash-out refinance could help you pay off high-interest rate balances.
  • Your home needs repairs or renovations. Cash-out refinance rates are usually much cheaper than financing your fixer-upper projects with a credit card or personal loan.
  • You want to get rid of mortgage insurance. Home values continue to rise despite higher mortgage rates, which may give you enough equity to ditch monthly mortgage insurance payments.You need at least 20% to cancel your private mortgage insurance.
See whether refinancing makes sense for you using our mortgage refinance calculator.

How are refinance rates determined?

Refinance rates are based on both factors you can control, like your personal finances, and some you can’t, like the market environment.

To get a lower mortgage refinance rate, you need to get your credit score as high as you can, save for a larger down payment amount, and choose the right type of mortgage loan for you.

It’s also essential to comparison shop with three to five lenders before moving forward with a loan offer. This small step can save you thousands in the long run.

 Learn more about how to improve your credit score.

How to get the lowest refinance rates: 5 tips

Here are a few tweaks to your finances that could help land you the best mortgage rate:

  1. Spruce up your credit. Reduce credit card balances, avoid opening new credit accounts and pay everything on time to optimize your score.
  2. Budget some extra cash to pay points. A mortgage point costs 1% of your loan amount, and every point you purchase typically “buys down” (lowers) your rate by up to 0.25 percentage points. Just make sure you’ll break even on the extra costs if you plan to sell your home in the near future.
  3. Shop and haggle with lenders. Sure, you could just go with your current mortgage company, but a LendingTree study found that comparison shopping with multiple lenders can save you thousands in interest costs over the life of your loan. Don’t be afraid to negotiate or walk away if you don’t think you’re getting the best deal.
  4. Compare APRs and interest rates . Lenders must disclose your annual percentage rate (APR) and your interest rate. A low rate may sound good at first, but if it comes with high fees, it may not actually offer you the best value. The APR reflects the full cost of a loan, including fees, rather than just the interest you’ll pay.
  5. Avoid second mortgages if you can. Lenders charge higher rates if your loan is a second mortgage, like a home equity loan or home equity line of credit (HELOC). As long as you can lower your interest rate when replacing your current mortgage with a new one, using a cash-out refinance is a cheaper way to access a large amount of cash than using a home equity loan or HELOC.
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How to compare refinance rates

We’ve already covered the importance of comparison shopping, but there are two ways you can go about it:

  • Use a rate-comparison website. Like the stock market, mortgage rates fluctuate daily, so you’ll need to compare rates gathered on the same day. What’s great about rate-comparison sites is that you won’t have to scramble to fill out a bunch of applications on the same day — you can enter your information once and receive offers from multiple lenders.
  • Reach out to lenders on your own. If you’re most comfortable conducting business in person, you can sit down with a loan officer at a brick-and-mortar location. Or, if you’d prefer to stay in your pajamas, you can get quotes from online lenders.

Pick what feels best to you — the most important thing is to reach out to three to five lenders, and you can start by browsing our top choices below.

Summary of the best refinance lenders

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
LenderLendingTree rating and "best of" categoryAvailable featuresLender review


Overall refinance products

 Minimum credit score: Not published

 Minimum down payment: 0% to 3.5%

 Available loan products and programs: Conventional, FHA, VA, jumbo, HELOC, interest-only and renovation loans

Read our review


Online mortgage experience for traditional bank

 Minimum credit score: Not disclosed

 Minimum down payment: 0% to 3%

 Available loan products and programs: Conventional, FHA, VA, jumbo

Read our review


Rate transparency

 Minimum credit score: 620

 Minimum down payment: 0% to 3.5%

 Available loan products and programs: Conventional, FHA, VA, jumbo

Read our review


Variety of refinance products

 Minimum credit score: 580 to 620

 Minimum down payment: 0% to 3.5%

 Available loan products and programs: Conventional, FHA, VA, jumbo, HELOC, interest-only and renovation loans, reverse mortgages, physician loans

Read our review

  Read more about how we chose our picks for the best refinance lenders.

Best refinance lender overall: Guaranteed Rate

  • Minimum credit score: Not published
  • Available refinance programs: Conventional cash-out refinance, FHA refinance, VA cash-out refinance, VA IRRRL, FHA 203(k) renovation refinance, Fannie Mae HomeStyle and Freddie Mac Renovation refinances and VA renovation refinance
  • Additional loan products: Jumbo loans, interest-only mortgages and home equity loans
  • LendingTree rating:

Best online mortgage refinance experience from a traditional bank: Chase

  • Minimum credit score: Not disclosed
  • Available refinance programs: Conventional, FHA, VA and jumbo
  • LendingTree rating:

Best for online refinance rate transparency: Zillow Home Loans

  • Minimum credit score: 620
  • Available refinance programs: Conventional, FHA, VA and jumbo
  • LendingTree rating:

Best lender for variety of refinance products: Fairway Independent Mortgage

  • Minimum credit score: 580 to 620
  • Available loan programs: Purchase and refinance programs offered for Conventional, FHA, VA, Jumbo and USDA loans. Fixer-upper loans, which include the FHA 203(k) program, Fannie Mae HomeStyle® Renovation loans and VA and USDA renovation loans.
  • Additional loan products: Reverse mortgage and physician home loan
  • LendingTree rating:
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How to refinance a mortgage

It’s easy to get overwhelmed by all of the details involved in the mortgage refinance process, but following these six steps will get you on your way:

  1. Know your credit score. The lowest refinance rates go to borrowers with the highest credit scores. A 780 FICO Score is the benchmark for the best conventional refi rates, but some government-backed refinance programs allow scores as low as 500.  
  2. Make sure you’ll break even. Expect to pay between 2% and 6% of your loan amount toward refinance closing costs. Calculate your break-even point by dividing your total costs by your monthly savings — the result is how many months it’ll take to recoup your refi fees. As long as you plan to stay in your home that long, the refinance makes sense. 
  3. Ballpark your home’s value. Try a home value estimator or contact your real estate agent to help pinpoint your home’s value. The more equity you have, the lower your rate will typically be. If you have little or no equity, ask your loan officer if you’re eligible for an FHA streamline refinance or VA interest rate reduction refinance loan (IRRRL), which don’t require appraisals.
  4. Shop around. Pick three to five refinance lenders and fill out applications with each. Try to complete the applications within a 14-day time frame to minimize the impact on your credit scores.
  5. Lock in your mortgage rate. Once you’ve committed to a lender, get a mortgage rate lock to secure your quoted interest rate.
  6. Close on your refinance. Work with your lender to finalize your refinance, submit any outstanding paperwork and schedule your closing date.

 Refinance closing costs: How much will you spend?

A typical refinance will cost between 2% and 6% of your loan amount, but there are different ways to pay the costs.

Ask for a no-closing-cost option. You’ll trade a lower closing cost bill for a higher interest rate if your lender offers a no-closing-cost refinance. The catch: You’ll spend more on interest charges over the life of your mortgage.

Add the costs to your loan amount. If you have enough home equity, you can borrow more and use the extra money to pay your costs. This is referred to as “rolling your costs” into your loan amount.

  Ready to refinance your mortgage?  Compare Free Refinance Offers

Pros and cons of a mortgage refinance

ProsCons

 Lower rates. Refinance rates tend to be lower than second mortgage rates.

Closing costs. You'll pay 2% to 6% of the loan amount in closing costs.

 Less interest. You can save thousands in lifetime interest charges by reducing your interest rate.

Lost equity. You'll lose equity if you increase your loan amount to cover closing costs or take out cash.

 Lower monthly payment. You'll also pay less per month when your interest rate drops (assuming you didn't add to the outstanding loan amount).

Longer time frame. You might not break even on costs if you sell too soon, so make sure you're prepared to stay in the home past your break-even point.

 Potential savings. If you can get rid of mortgage insurance, you stand to save thousands of dollars over the life of your loan.

Depends on appraised value. Your house may not appraise for what you think it's worth, which could reduce your borrowing power.

 Flexibility. You can use equity tapped during a refinance to pay off debt, make home improvements or take action on whatever is your highest priority right now.

Higher monthly payments. Your payment may become unaffordable if you shorten your loan term since you'll need to pay off the same amount more rapidly.

Frequently asked questions

APR stands for annual percentage rate and is a measure of your total refinance loan costs, including interest and origination fees. Your mortgage interest rate is the percentage you’ll pay as a fee for borrowing the money. The higher your APR is compared to your interest rate, the more you’re paying in total closing costs.

Your break-even point is a measure of how long it takes to recoup your refinance closing costs. Try our mortgage refinance calculator to see if refinancing makes sense.

Mortgage refinance requirements

The table below gives you a quick glance at the refinance requirements for credit score, debt-to-income (DTI) ratio and LTV ratio for the types of refinance loans listed above:

Loan programRefinance purposeCredit scoreLTV ratioDTI ratio
ConventionalRate and term62097%45% to 50%
Cash out62080%45% to 50%
FHARate and term500 to 58097.75%43%
Cash out50080%43%
StreamlineN/AN/AN/A
VARate and termNo minimum, but lenders typically require 620100%41%
Cash outNo minimum90%41%
StreamlineNo minimumN/AN/A
USDAStreamlineN/AN/AN/A

The most common types of mortgage refinance options are offered by conventional lenders, as well as lenders approved by the Federal Housing Administration (FHA), U.S. Department of Veterans Affairs (VA) and U.S. Department of Agriculture (USDA).
 
Rate-and-term refinance loans. Most homeowners choose this type of refinance to lower their rate or pay off their loan faster. One major perk: You can roll in your closing costs even if you have little to no equity in your home.
 
Cash-out refinance loans. With a cash-out refinance, you borrow more than you currently owe and pocket the difference between the two loans in cash. One drawback: You can’t borrow more than 80% of your home’s value unless you’re eligible for a VA cash-out refinance.
 
Streamline refinance loans. The streamline refinance option is exclusive to homeowners with government-backed loans from the FHA, VA or USDA, and it typically doesn’t require a home appraisal or income documentation. To qualify, you must currently have an FHA, VA or USDA loan and prove the refinance will benefit you financially.

Mortgage refinance rates tend to be slightly more expensive than purchase mortgage rates. However, refinance rates differ from lender to lender, which is why it’s important to shop around and find a rate that’s competitive enough to replace your current mortgage rate.

How we chose our picks for the best refinance lenders

To determine the best refinance lenders, we reviewed data from LendingTree’s 35 lender reviews and evaluated the lenders’ refinance loan programs and services.

Each lender review gives a rating between zero and five stars based on several features including digital application processes, available loan products and the accessibility of product and lending information. To evaluate refinance-specific factors, we awarded extra points to lenders that publish a wide variety of refinance rates online, offer the most conventional and government-backed refinance loan types and offer renovation refinance loans for homeowners that want to fix up their homes and roll the costs into one loan.

Our editorial team brought together the star ratings, as well as the scores awarded for refinance-specific characteristics, to find the lenders with a product mix, information and guidelines that best serve the needs of refinance borrowers. To be included in the “best of” roundup, lenders must offer mortgages in at least 35 states.

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