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Digital News Report – Refinancing interest rates were higher this week compared to last (see chart).
Refinance rates are not always the same as purchase loan rates. During a refinance, the old loan is paid off and a new loan is initiated. Today’s low interest rates have prompted many homeowners to consider the switch. The goal is lower the cost of the loan, and in some cases lower the monthly payments.
The average 30-year refinance rate was 16-basis points higher this last week hitting 4.4987%. The 15-year rates were 19 points higher and the 5/1 adjustable rate mortgage (ARM) was one point higher.
Citibank lowered their rates today. The bank is offering 30-year refinance loans for 4.68% and 15-year fixed rate mortgages for 4.31%. Their 5-year ARM rate was 3.37%.
PNC has a rate of 4.77 percent on their 30-year fixed rate mortgages. The bank also offers a 15-year FRM at 4.22%.
Bank of America had a rate of 4.534%. They have a 5-year adjustable loan for 3.245%.
Chase Bank had a rate of 4.46% today. The bank also offers a 15-year mortgage for 3.92% and an adjustable loan for 3.14%.
Besides lowering the payments, refinancing can also give property owners the ability to shorten the term and consolidate other loans.
By: Tina Brown
| REFINANCE RATES | ||||
| 10/31/2010 | Citi Bank | PNC | Bank of America | Chase Bank |
| 30-Year Fixed | 4.68% | 4.77% | 4.534 | 4.46% |
| 15-Year Fixed | 4.31% | 4.22% | NA | 3.92% |
| 5-Year Adjustable | 3.37% | NA | 3.245 | 3.14% |