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Mortgage Refinance Rates Fall: Mortgage Refinance Rates on May 17, 2024

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Today’s average refinancing rates


Today’s average mortgage interest rates for May. 17, 2024, compared to one week ago. We use interest rate data collected by Bankrate as reported by lenders in the US.


Mortgage refinance rates change every day. Experts recommend shopping around to make sure you’re getting the lowest price. By entering your information below, you can get a personalized quote from one of CNET’s partner lenders.

About these rates: Like CNET, Bankrate is owned by Red Ventures. This tool offers peer-to-peer rates from lenders that you can use when comparing multiple mortgage rates.


A large proportion of US homeowners already have mortgages with interest rates below 6%. With mortgage refinance rates averaging over 6.5% over the past few months, households are choosing to keep their existing mortgages rather than replace them with a new home loan.

If interest rates fell to 6%, at least a third of borrowers who took out mortgages in 2023 could lower their rates by a full percentage point by refinancing, according to Black Knight.

Refinancing in today’s market can make sense if you have an interest rate above 8%, he said Logan Mohtashami, lead analyst at HousingWire. “However, with all refinancing options, it’s a personal financial choice because of the costs that go with the loan process,” he said.

2024 Refinancing Rate Forecast

Mortgage rates have been extremely high for the past two years, largely as a result of the Federal Reserve’s aggressive attempt to tame inflation by sharply raising interest rates. Experts say slowing inflation and the Fed’s projected rate cut should help stabilize mortgage rates through late 2024. But the timing of the Fed’s tapering will depend on incoming economic data and market reaction.

For homeowners looking to refinance, remember that you can’t fix the economy: interest rates vary on an hourly, daily and weekly basis and are affected by a range of factors. Your best bet is to keep an eye on the day-to-day changes in interest rates and have a game plan for how to take advantage of a big enough rate drop, he said. Matt Graham on Mortgage News Daily.

What does refinancing mean?

When you refinance your mortgage, you take out another home loan that pays off your original mortgage. With traditional refinancing, your new home loan will have a different term and/or interest rate. With a cash-out refinance, you’ll tap into your equity with a new loan that’s larger than your existing mortgage balance, allowing you to make up the difference in cash.

Refinancing can be a great financial move if you can get a low interest rate or pay off your home loan in less time, but consider whether it’s the right choice for you. Lowering your interest rate by 1% or more is an incentive to refinance, allowing you to significantly lower your monthly payment.

How to choose the right type and term of refinancing

Rates advertised online often require specific eligibility conditions. Your personal interest rate will be affected by market conditions as well as your specific credit history, financial profile and application. Having a high credit score, low loan-to-value ratio, and a history of consistent and on-time payments will usually help you get the best interest rates.

30-year fixed-rate refinance

The average interest rate for a 30-year fixed refinance loan is currently 7.03%, down 9 basis points from this time last week. (A basis point is equivalent to 0.01%.) A 30-year fixed refinance will usually have lower monthly payments than a 15-year or 10-year refinance, but will take longer to pay off and will usually cost you more in interest in the long term.

15-year refinancing with a fixed interest rate

The average interest rate for a 15-year fixed refinance loan is currently 6.50%, down 7 basis points from last week. Although a 15-year fixed refinance will likely raise your monthly payment compared to a 30-year loan, you’ll save more money over time because you’re paying off your loan faster. Also, 15-year refinance rates are usually lower than 30-year refinance rates, which will help you save more in the long run.

10-year fixed rate refinance

The current average interest rate for a 10-year refinance is 6.33%, down 8 basis points from a week ago. A 10-year refinance typically has the lowest interest rate but the highest monthly payment of all refinance terms. A 10-year refinance can help you pay off your house much faster and save on interest, but make sure you can afford the higher monthly payment.

To get the best refinance rates, make your application as strong as possible by getting your finances in order, using credit responsibly, and regularly monitoring your credit. And don’t forget to talk to multiple lenders and shop around.

Reasons for refinancing

Usually, homeowners refinance to save money, but there are some other reasons to do it. Here are the most common reasons homeowners refinance:

  • To get a lower interest rate: If you can secure a rate that is at least 1% lower than your current mortgage, it may make sense to refinance.
  • To switch your mortgage type: If you have an adjustable rate mortgage and want more security, you can refinance to a fixed rate mortgage.
  • To remove mortgage insurance: If you have an FHA loan that requires mortgage insurance, you can refinance to a conventional loan once you have 20% equity.
  • To change the length of the loan term: Refinancing to a longer loan term can lower your monthly payment. Refinancing for a shorter term will save you interest in the long run.
  • To take advantage of your equity through a cash-out refinance: If you swap your mortgage for a larger loan, you can get the difference in cash to cover major expenses.
  • To remove someone from the mortgage: In the event of a divorce, you can apply for a new home loan in your own name only and use the funds to pay off your existing mortgage.

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