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Today's average mortgage refinance rates settle at 180-day lows | Sept. 1, 2021

By Chris Jennings
Published  September 1, 2021 11:40am EDT
Personal Finance
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Check out the mortgage refinancing rates for Sept. 1, 2021, which are unchanged from yesterday. (iStock)

Based on data compiled by Credible, current mortgage refinance rates held steady since yesterday. The average rates across all refinance terms are currently lower than the 180-day average.

  • 30-year fixed-rate refinance: 2.750%, unchanged
  • 20-year fixed-rate refinance: 2.500%, unchanged
  • 15-year fixed-rate refinance: 2.125%, unchanged
  • 10-year fixed-rate refinance: 2.000%, unchanged

Rates last updated on Sept. 1, 2021. These rates are based on the assumptions shown here. Actual rates may vary.

Homeowners typically refinance for one (or more) of three basic reasons: to secure a lower interest rate, to reduce their total interest costs and to shorten their repayment term. Whatever your reason for refinancing, and whatever repayment term you choose, today’s low mortgage refinance rates provide ample opportunity to secure a better mortgage deal. If your goal is to pay the least amount of interest as possible, 10-year refinance rates, at just 2.000%, may be particularly attractive.

If you’re thinking of refinancing your home mortgage, consider using Credible. Whether you're interested in saving money on your monthly mortgage payments or considering a cash-out refinance, Credible's free online tool will let you compare rates from multiple mortgage lenders. You can see prequalified rates in as little as three minutes.

Current 30-year fixed refinance rates

The current rate for a 30-year fixed-rate refinance is 2.750%. This is the same as yesterday.

Current 20-year fixed refinance rates

The current rate for a 20-year fixed-rate refinance is 2.500%. This is the same as yesterday.

Current 15-year fixed refinance rates

The current rate for a 15-year fixed-rate refinance is 2.125%. This is the same as yesterday.

Current 10-year fixed refinance rates

The current rate for a 10-year fixed-rate refinance is 2.000%. This is the same as yesterday.

You can explore your mortgage refinance options in minutes by visiting Credible to compare rates and lenders. Check out Credible and get prequalified today.

Rates last updated on Sept. 1, 2021. These rates are based on the assumptions shown here. Actual rates may vary.

How mortgage refinance rates have changed

Today, mortgage refinance rates are mixed compared to this time last week.

  • 30-year fixed refinance rates: 2.750%, down from 2.875% last week, -0.125
  • 20-year fixed refinance rates: 2.500%, the same as last week
  • 15-year fixed refinance rates: 2.125%, the same as last week
  • 10-year fixed refinance rates: 2.000%, down from 2.125% last week, -0.125

Think it might be the right time to refinance? Be sure to shop around and compare rates with multiple mortgage lenders. You can do this easily with Credible and see your prequalified rates in only three minutes.

Rates last updated on Sept. 1, 2021. These rates are based on the assumptions shown here. Actual rates may vary.

The factors behind today’s refinance rates

Current refinance rates, like mortgage interest rates in general, are affected by many economic factors, like unemployment numbers and inflation. But your personal financial history will also determine the rates you’re offered when refinancing your mortgage.

Larger economic factors

  • Strength of the economy
  • Inflation rates
  • Employment
  • Consumer spending
  • Housing construction and other market conditions
  • Stock and bond markets
  • 10-year Treasury yields
  • Federal Reserve policies

Personal economic factors

How to get your lowest mortgage refinance rate

If you’re interested in refinancing your mortgage, improving your credit score and paying down any other debt could secure you a lower rate. It’s also a good idea to compare rates from different lenders if you're hoping to refinance so you can find the best rate for your situation. 

Borrowers can save $1,500 on average over the life of their loan by shopping for just one additional rate quote, and an average of $3,000 by comparing five rate quotes, according to research from Freddie Mac. Credible can help you compare multiple lenders at once in just a few minutes. 

If you decide to refinance your mortgage, be sure to shop around and compare rates from multiple mortgage lenders. You can do this easily with Credible’s free online tool and see your prequalified rates in only three minutes.

Credible also has a partnership with a home insurance broker. You can compare free home insurance quotes through Credible's partner here. It's fast, easy and the whole process can be completed entirely online. 

Are there any cons to refinancing?

Refinancing a mortgage can be a good way to lower interest costs over the life of a loan, shorten your repayment term or secure a lower interest rate. But refinancing has some potential pitfalls, too.

It’s possible for refinancing to actually cost you more money than you’ll save if:

  • You refinance into a repayment term that’s longer than your original mortgage. Longer repayment terms usually mean lower monthly payments — but higher interest rates and greater interest costs over the life of a loan. To reap the most savings from a refinance, try refinancing into a shorter term than you have for your current mortgage.
  • You sell your home before you reach the break-even point on your new loan. Like your original mortgage, your refinance will come with closing costs. And it will take some time before your savings add up to as much as your closing costs.

That said, the con you need to consider first is closing costs. You’ll need to fund these from your own pocket or roll them into the loan (which raises its lifetime costs). Closing costs typically run 3% to 5% — or more — of the amount you’re borrowing. So if you want to refinance your $200,000 loan to get a lower interest rate, you’ll pay an estimated $6,000 to $10,000 in closing costs.

Have a finance-related question, but don't know who to ask? Email The Credible Money Expert at moneyexpert@credible.com and your question might be answered by Credible in our Money Expert column.

As a Credible authority on mortgages and personal finance, Chris Jennings has covered topics that include mortgage loans, mortgage refinancing, and more. He’s been an editor and editorial assistant in the online personal finance space for four years. His work has been featured by MSN, AOL, Yahoo Finance, and more.