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Mortgage And Refinance Rates Today, Feb. 10| Rates rising

Today’s mortgage and refinance rates

Average mortgage rates inched higher yesterday, though only by the smallest measurable amount. But it was disappointing because a fall had seemed more likely for the first half of the day.

So far this morning, mortgage rates today look likely to move higher. That’s because the latest inflation data were worse than expected, coming in at a four–decade high.

Find your lowest rate. Start here (Feb 11th, 2022)

Current mortgage and refinance rates

Program Mortgage Rate APR* Change
Conventional 30 year fixed 3.999% 4.02% -0.01%
Conventional 15 year fixed 3.157% 3.187% -0.01%
Conventional 20 year fixed 3.691% 3.722% -0.02%
Conventional 10 year fixed 3.237% 3.301% Unchanged
30 year fixed FHA 4.066% 4.873% -0.01%
15 year fixed FHA 3.359% 4.018% +0.09%
30 year fixed VA 3.897% 4.097% +0.02%
15 year fixed VA 3.133% 3.462% +0.01%
5/1 ARM VA 3.777% 3.396% -0.34%
Rates are provided by our partner network, and may not reflect the market. Your rate might be different. Click here for a personalized rate quote. See our rate assumptions here.

Should you lock a mortgage rate today?

Mortgage rates have been climbing for several weeks. And that overall trend – punctuated by typically brief periods of falls – looks set to continue.

Any hopes of a longer period of falls, starting today, were dashed following the publication of this morning’s consumer price index. Inflation came in hotter than expected.

So my personal rate lock recommendations remain:

  • LOCK if closing in 7 days
  • LOCK if closing in 15 days
  • LOCK if closing in 30 days
  • LOCK if closing in 45 days
  • LOCK if closing in 60 days

>Related: 7 Tips to get the best refinance rate

Market data affecting today’s mortgage rates

Here’s a snapshot of the state of play this morning at about 9:50 a.m. (ET). The data, compared with roughly the same time yesterday, were:

  • The yield on 10-year Treasury notes climbed to 1.99% from 1.94%. (Bad for mortgage rates.) More than any other market, mortgage rates normally tend to follow these particular Treasury bond yields
  • Major stock indexes were lower. (Good for mortgage rates.) When investors are buying shares they’re often selling bonds, which pushes prices of those down and increases yields and mortgage rates. The opposite may happen when indexes are lower. But this is an imperfect relationship
  • Oil prices moved higher to $90.57 from $89.65 a barrel. (Bad for mortgage rates*.) Energy prices play a large role in creating inflation and also point to future economic activity
  • Gold prices inched up to $1,832 from $1,829 an ounce. (Neutral for mortgage rates*.) In general, it is better for rates when gold rises, and worse when gold falls. Gold tends to rise when investors worry about the economy. And worried investors tend to push rates lower
  • CNN Business Fear & Greed index – was barely changed at 38 from 39 out of 100. (Good for mortgage rates.) “Greedy” investors push bond prices down (and interest rates up) as they leave the bond market and move into stocks, while “fearful” investors do the opposite. So lower readings are better than higher ones

*A change of less than $20 on gold prices or 40 cents on oil ones is a fraction of 1%. So we only count meaningful differences as good or bad for mortgage rates.

Caveats about markets and rates

Before the pandemic and the Federal Reserve’s interventions in the mortgage market, you could look at the above figures and make a pretty good guess about what would happen to mortgage rates that day. But that’s no longer the case. We still make daily calls. And are usually right. But our record for accuracy won’t achieve its former high levels until things settle down.

So use markets only as a rough guide. Because they have to be exceptionally strong or weak to rely on them. But, with that caveat, mortgage rates today will probably rise. However, be aware that “intraday swings” (when rates change direction during the day) are a common feature right now.

Find your lowest rate. Start here (Feb 11th, 2022)

Important notes on today’s mortgage rates

Here are some things you need to know:

  1. Typically, mortgage rates go up when the economy’s doing well and down when it’s in trouble. But there are exceptions. Read ‘How mortgage rates are determined and why you should care
  2. Only “top–tier” borrowers (with stellar credit scores, big down payments and very healthy finances) get the ultralow mortgage rates you’ll see advertised
  3. Lenders vary. Yours may or may not follow the crowd when it comes to daily rate movements – though they all usually follow the wider trend over time
  4. When daily rate changes are small, some lenders will adjust closing costs and leave their rate cards the same
  5. Refinance rates are typically close to those for purchases.

A lot is going on at the moment. And nobody can claim to know with certainty what’s going to happen to mortgage rates in coming hours, days, weeks or months.

Are mortgage and refinance rates rising or falling?


So, now we know. This morning’s publication of January’s consumer price index (CPI) delivered its news. And it was bad for mortgage rates.

Economists polled by MarketWatch had forecast that this morning’s key figures would be lower than those for December. And they’d predicted:

  • +0.4% for the month–to–month change in CPI
  • +7.2% for the year–to–year change

But, in today’s report, those figures were actually +0.6% and 7.5% respectively. And they were worse than December’s 0.5% and 7.0%. So they suggest that inflation is yet to do its worst.

Of course, these are just one month’s figures and markets often shrug those off. But inflation is a highly sensitive subject right now. And investors may well not cope well with today’s disappointment.

How today affects mortgage rates

Mortgage rates could be hit in two ways:

  1. The Federal Reserve may well move more aggressively against inflationary pressures at its next meeting, ominously scheduled for the Ides of March. So it could hike its own rates higher and more often over the rest of this year. And it might begin to sell its huge stock of mortgage–backed securities (MBSs – the type of bond that largely determines mortgage rates) earlier and faster than planned
  2. Even without Fed actions, investors in fixed–income bonds, including MBSs, hate warm or hot inflation

Both those are likely to push mortgage rates higher for the time being. It’s hard to imagine those rates continuing to climb as quickly as they have so far in 2022. But it’s even more difficult to imagine their falling far anytime soon.

As Freddie Mac commented in a statement this morning:

The normalization of the economy continues as mortgage rates jumped to the highest level since the emergence of the pandemic. Rate increases are expected to continue due to a strong labor market and high inflation

For a more detailed look at what’s happening to mortgage rates, read the latest weekend edition of this report.

Recently – updated today

Over much of 2020, the overall trend for mortgage rates was clearly downward. And a new, weekly all–time low was set on 16 occasions that year, according to Freddie Mac.

The most recent weekly record low occurred on Jan. 7, 2021, when it stood at 2.65% for 30–year fixed–rate mortgages.

Since then, the picture has been mixed with extended periods of rises and falls. Unfortunately, since last September, the rises have grown more pronounced, though not consistently so. So far in 2022, rises have been appreciable and relatively consistent.

Freddie’s Feb. 10 report puts that weekly average for 30–year, fixed–rate mortgages at 3.69% (with 0.8 fees and points), up from the previous week’s 3.55%.

Expert mortgage rate forecasts

Looking further ahead, Fannie Mae, Freddie Mac and the Mortgage Bankers Association (MBA) each has a team of economists dedicated to monitoring and forecasting what will happen to the economy, the housing sector and mortgage rates.

And here are their current rate forecasts for the four quarters of 2022 (Q1/22, Q2/22, Q3/22, Q4/22).

The numbers in the table below are for 30–year, fixed–rate mortgages. Fannie’s were published on Jan. 19 and Freddie’s and the MBA’s on Jan. 21.

Forecaster Q1/22 Q2/22 Q3/22 Q4/22
Fannie Mae 3.2% 3.3%  3.3% 3.4%
Freddie Mac 3.5% 3.6%  3.7% 3.7%
MBA 3.3% 3.5%  3.7% 4.0%

Personally, I was surprised that Fannie Mae only slightly increased its rate forecasts in January. It believes that rates for 30–year, fixed–rate mortgages will average 3.2% over the current quarter. But, on the day its figures were published, we reported those for conventional loans were already up to 3.87%.

Do Fannie’s economists expect those rates to plummet later this month or in February or March and remain lower in the following quarters? If so, they know something that I don’t. And that their peers in Freddie and the MBA’s teams don’t, either, though I’m less optimistic than any of them.

Of course, given so many unknowables, the whole current crop of forecasts may be even more speculative than usual.

Find your lowest rate today

You should comparison shop widely, no matter what sort of mortgage you want. As federal regulator the Consumer Financial Protection Bureau says:

“Shopping around for your mortgage has the potential to lead to real savings. It may not sound like much, but saving even a quarter of a point in interest on your mortgage saves you thousands of dollars over the life of your loan.”

Show me today’s rates (Feb 11th, 2022)

Mortgage rate methodology

The Mortgage Reports receives rates based on selected criteria from multiple lending partners each day. We arrive at an average rate and APR for each loan type to display in our chart. Because we average an array of rates, it gives you a better idea of what you might find in the marketplace. Furthermore, we average rates for the same loan types. For example, FHA fixed with FHA fixed. The end result is a good snapshot of daily rates and how they change over time.

The information contained on The Mortgage Reports website is for informational purposes only and is not an advertisement for products offered by Full Beaker. The views and opinions expressed herein are those of the author and do not reflect the policy or position of Full Beaker, its officers, parent, or affiliates.

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