Mortgage Rates Today, Tuesday, Aug. 2: The Most Refinance-Eligible Homeowners in Nearly 4 Years

Mortgage Rates, Mortgages
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Mortgage Rates Today, Tuesday, Aug. 2: The Most Refinance Eligible Homeowners in Nearly 4 Years

Thirty-year fixed mortgages are up Tuesday; so are 15-year fixed home loans and 5/1 ARMs, as mortgage rates continue to suffer sharp volatility.

A NerdWallet survey of national lenders this morning revealed some aggressive repricing by a number of lenders, reversing course from Monday’s abrupt discounts.

Low mortgage rates trigger largest refinanceable population in nearly 4 years

The “Brexit effect” — falling mortgage rates after Great Britain’s vote to exit the European Union — has had a significant impact on 30-year mortgage holders who can qualify for and benefit from refinancing.

A new report from Black Knight Financial Services says there are more than 8.7 million homeowners who are now refinance candidates — the largest number since late 2012.

“The reality is that, post-Brexit, mortgage interest rates declined by about 15 basis points — not significant in the grand scheme of things,” Ben Graboske, Black Knight data and analytics executive vice president, said in a news release. “But for 2.8 million borrowers with current rates right at 4.25%, this modest decline was enough to put them 75 basis points above today’s prevailing rate, the point at which we consider a borrower to have incentive to refinance.”

The NerdWallet Mortgage Rate Index compiles annual percentage rates — lender interest rates plus fees, the most accurate way for consumers to compare rates. Here are today’s average rates for the most popular loan terms:

Purchase Mortgage Rates: Aug. 2, 2016

(Change from 8/1)

30-year fixed: 3.62% APR (+0.03)

15-year fixed: 3.01% APR (+0.02)

5/1 ARM: 3.45% APR (+0.04)

 


Homeowners looking to lower their mortgage rate can shop for refinance lenders here.

NerdWallet daily mortgage rates are an average of the published APR with the lowest points for each loan term offered by a sampling of major national lenders. Annual percentage rate quotes reflect an interest rate plus points, fees and other expenses, providing the most accurate view of the costs a borrower might pay.

Hal Bundrick is a staff writer at NerdWallet, a personal finance website. Email: hal@nerdwallet.com. Twitter: @halmbundrick.