What you need to know about interest rate trends before buying a home

Discover how interest rates impact your mortgage payments and how much home you can afford.

Photo depicts a woman talking to a mortgage lender

It’s no secret, interest rates were low in the wake of the Great Recession that started in 2009. For those who could still afford to buy homes at the time, those interest rates made it cheaper than ever to borrow money to purchase a property. Since then, interest rates have risen as the economy recovers.

Current interest rates for 30-year fixed-rate mortgages are hovering around 4.5% — a full percentage point more than the all-time low of 3.31% for 30-year fixed-rate mortgages in 2012. With more rate hikes predicted this year, that means interest rates on both new fixed and adjustable mortgages could also climb back to numbers that we haven’t seen since before the 2009 recession. Nonetheless, today’s mortgage interest rates are still low, making it a good time to borrow money and buy a house.

Check current interest rates.

Written By: Kali Roberge