30 Year Mortgage Rates Down 0.12% on China Stock Market Fears

The recent run up in mortgage rates has reversed this week as a result of the Chinese stock market plunge. Average conforming 30 year mortgage rates are down 12 basis points to 4.04 percent. There is a chance that average 30 year rates will fall back below 4.00 percent this week.

You may be wondering why something happening in China is affecting mortgage rates in the United States. Mortgage rates are not directly affected by stock prices in China but are indirectly affected. Whenever there is uncertainly in the markets around the world, investors flock to the safety of U.S. Treasuries. The same thing happened this month when investors feared a Grexit. Earlier this month we posted an article on how the crisis in Greece was affecting mortgage rates: Greek Crisis Sends Mortgage Rates Lower this Week.

Any time U.S. Treasury price go up or down, the yield changes in the other direction. When investors buy Treasuries, prices move up and yields move lower. Lenders set mortgage rates to U.S. Treasury yields, so when yields decline, mortgage rates also decline.

Loan Type

Purchase Refinance with Cash out Refinance

State

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FICO Score

Superior (780-850) Exceptional (760-779) Excellent (740-759) Very Good (720-739) Good (700-719) Above Average (680-699) Average (660-679) Fair (640-659) Need Improvement (620-639) Poor (350-620)

Loan Amount

$

Points

Up to 0 points Up to 0.5 points Up to 1 points Up to 1.5 points Up to 2 points Up to 2.5 points Up to 3 points

LTV

%

Loan Term

 15-Year Fixed  20-Year Fixed  30-Year Fixed  5-Year ARM  7-Year ARM  10-Year ARM

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The lenders whose rates and other terms appear on this chart are ICB's advertising partners. They provide their rate information to our data partner RateUpdate.com. Unless adjusted by the consumer, advertisers are sorted by APR from lowest to highest. For any advertising partners that do not provide their rate they are listed in advertisement display units at the bottom of the chart. Advertising partners may not pay to improve the frequency priority or prominence of their display. The interest rates, annual percentage rates and other terms advertised here are estimates provided by those advertising partners based on the information you entered above and do not bind. Any lender Monthly payment amounts stated do not include amounts for taxes and insurance premiums. The actual payment obligation will be greater if taxes and insurance are included. Although our data partner RateUpdate.com collects the information from the financial institutions themselves, the accuracy of the data cannot be guaranteed. Rates may change without notice and can change intraday. Some of the information contained in the rate tables including but not limited to special marketing notes is provided directly by the lenders. Please verify the rates and offers before applying for a loan with the financial institution themselves. No rate is binding until locked by a lender.

Lender

APR / Rate

Fees / Points

Payment

NMLS #1835285

4.919%

15-Year Fixed

4.750%

$4,500

Includes 0.625 points for $2,500

Lender Fees: $2,000

$3,112 /mo

Next >

NMLS #2562839

4.942%

15-Year Fixed

4.750%

$5,125

Includes 1.000 points for $4,000

Lender Fees: $1,125

$3,112 /mo

Next >

NMLS #757416

5.226%

15-Year Fixed

5.125%

$2,672

Includes 0.668 points for $2,672

Lender Fees: $0

$3,190 /mo

Next >

NMLS #2059741

5.231%

15-Year Fixed

5.125%

$2,792

Includes 0.698 points for $2,792

Lender Fees: $0

$3,190 /mo

Next >

NMLS #6606

5.382%

15-Year Fixed

5.240%

$3,732

Includes 0.933 points for $3,732

Lender Fees: $0

$3,214 /mo

Next >

NMLS #1025894

5.503%

15-Year Fixed

5.375%

$3,348

Includes 0.662 points for $2,648

Lender Fees: $700

$3,242 /mo

Next >

NMLS #1835285

5.625%

5-Year ARM

5.500%

$5,524

Includes 0.881 points for $3,524

Lender Fees: $2,000

$2,272 /mo

Next >

NMLS #2562839

5.739%

5-Year ARM

5.625%

$4,997

Includes 0.968 points for $3,872

Lender Fees: $1,125

$2,303 /mo

Next >

NMLS #1835285

5.842%

30-Year Fixed

5.750%

$4,000

Includes 0.500 points for $2,000

Lender Fees: $2,000

$2,335 /mo

Next >

NMLS #2562839

5.856%

30-Year Fixed

5.750%

$4,625

Includes 0.875 points for $3,500

Lender Fees: $1,125

$2,335 /mo

Next >

NMLS #757416

5.961%

30-Year Fixed

5.875%

$3,724

Includes 0.931 points for $3,724

Lender Fees: $0

$2,367 /mo

Next >

NMLS #2059741

6.034%

30-Year Fixed

5.990%

$1,876

Includes 0.469 points for $1,876

Lender Fees: $0

$2,396 /mo

Next >

NMLS #1025894

6.200%

30-Year Fixed

6.125%

$3,196

Includes 0.624 points for $2,496

Lender Fees: $700

$2,431 /mo

Next >

NMLS #6606

6.343%

30-Year Fixed

6.250%

$3,944

Includes 0.986 points for $3,944

Lender Fees: $0

$2,463 /mo

Next >

Rate data provided by RateUpdate.com. Displayed by ICB, a division of Mortgage Research Center, NMLS #1907, Equal Housing Opportunity. Payments do not include taxes and insurance premiums. Actual payments will be greater with taxes and insurance included. Rate and product details.

All of the economic uncertainly in the world this year has benefited homeowners who financed or will finance the purchase of a home. At the beginning of 2015, average 30 year mortgage rates were forecast to hit 5.00 percent by the end of the year. The closer we get to the end of the year, the less likely we will see 5.00 percent rates.

A more likely scenario for 30 year mortgage rates is for rates to stay near current levels for the rest of the year. On the low end, rates could stay under 4.00 percent but on the high end rates could move up around 4.50 percent. Right now there are many lenders in our rate database quoting 30 year refinance rates below 4.00 percent.

Average 30 year rates are down considerably this week but average 15 year rates remain unchanged. The current average 15 year conforming rate is at 3.15 percent. 15 year rates will also fall this week, probably ending the week near 3.05 percent.

30 year jumbo mortgage rates are averaging 4.31 percent, down from last week's average 30 year jumbo rate of 4.62 percent. A 31 basis point decline in average rates is one of the largest declines I have ever seen. Occasionally lenders are slow to lower rates, so the large decline might be a holdover from the past several days.

Mortgage rates today on 15 year jumbo loans are averaging 3.89 percent, down from the previous week's average 15 year jumbo rate of 4.01 percent. The best 15 year jumbo refinance rates in our database are much lower at 3.25 percent.