National 15-year refinance rate trends
As of Wednesday, July 09, 2025, the national average 15-year fixed refinance interest rate is 6.14%, up compared to last week’s rate of 6.06%. The national average 15-year fixed mortgage interest rate is 5.94%, up compared to last week’s rate of 5.89%.
Whether you’re buying or refinancing, Bankrate often has offers well below the national average to help you finance your home for less. Compare rates here, then type in your zip code and hit “Next” to get personalized quotes. By comparing mortgage rates, especially in today’s rate environment, you can find the best deal to save you money over the life of your mortgage.
We’ve determined the national averages for mortgage and refinance rates from our most recent survey of the nation’s largest refinance lenders. Our own mortgage and refinance rates are calculated at the close of the business day, and include annual percentage rates and/or annual percentage yields. The rate averages tend to be volatile, and are intended to help consumers identify day-to-day movement.
How to refinance into a 15-year loan
Set a clear financial goal:
There should be a solid purpose to the refinancing — whether it’s to reduce your monthly payment, shorten your loan term or pull out equity for home repairs or debt repayment.
Check your credit score and history:
Similar to getting approved for your initial home loan, you will need to meet the qualifications for a refinance. Lenders will offer you better refinance rates and have a better chance of getting your loan approved if your credit score is higher.
While there are ways to refinance your mortgage with bad credit, spend a few months boosting your score, if you can, before you start the process.
Determine how much home equity you have:
Your home equity is the total value of your home minus what you owe on your mortgage. You may be able to refinance a conventional loan with as little as a 5 percent equity stake, but you’ll get better rates and fewer fees (and won’t have to pay for private mortgage insurance or PMI) if you have at least 20 percent equity.
Shop multiple lenders:
Getting quotes from at least three mortgage lenders can save you thousands. Bankrate’s refinance rate table allows you to comparison-shop loans to help you find the best fit for your financial needs.
Get your paperwork in order:
Gather recent pay stubs, federal tax returns, bank/brokerage statements and anything else your mortgage lender requests. Since your lender will also look at your credit and net worth, be upfront about all of your assets and debts.
Having all your documents ready before starting the refinancing process can make it go more smoothly and often more quickly.
Get ready for your home evaluation: Mortgage lenders typically require a home appraisal (similar to the one done when you bought your house) to determine its current market value.
Come to closing with cash if needed:
The closing disclosure, as well as the loan estimate, will list how much closing costs will run you. You may need to pay 3 to 5 percent of your total loan at closing.
Maintain an eye on your loan: Store copies of your closing paperwork in a safe location and set up automatic payments to make sure you stay current on your mortgage.
Why compare 15-year refinance rates today
Bankrate insight
While mortgage rates are higher now compared to recent years, 15-year mortgage rates are still lower than those on 30-year loans — though there’s variation from lender to lender.
Shopping around for quotes from multiple lenders is key for every mortgage applicant. When you shop, consider not just the interest rate you’re being quoted, but also all the other terms of the loan.
Be sure to compare APRs, which include many additional costs of the mortgage not shown in the interest rate. Some institutions may have lower closing costs and fees than others, or your current bank or credit union may extend you a special offer.
Don’t be afraid to walk away from your current lender when you refinance. If you can find a better deal elsewhere, go for it. Consider quotes from both online and traditional brick-and-mortar banks. Alternatively, look into working with a mortgage broker, who will present loan offers from wholesale lenders.
How Bankrate collects mortgage rates
The national rate and annual percentage rate (APR) averages, the Bankrate Monitor (BRM) National Index rate averages, and the “top offers” are all included in the mortgage rates provided by Bankrate.
National rate and APR averages: Displayed as daily and weekly averages, these rates and APRs are primarily collected from the 5 largest banks and thrifts across hundreds of markets in the U.S.
Bankrate Monitor (BRM) National Index rate averages: This long-running survey gathers rates from banks and thrifts in hundreds of U.S. markets and publishes them on a weekly basis.
“Top offers”: These are the average of the rates that appear first on our rate tables and are advertised by our partners. They are shown daily and weekly. The displayed averages are based on the selected loan type and term.
When you shop on Bankrate, you can see how much you could save by comparing the best offers to the average national mortgage rate. Learn more about how we collect, display and report mortgage rates.
A 15-year mortgage refinance’s advantages and disadvantages Here are the main pros and cons of a 15-year mortgage refinance:
Pros
Lower mortgage rates: Lenders charge lower interest rates for 15-year loans than they do for 30-year loans, mainly because they’re taking on risk for a shorter amount of time.
Less total interest paid: Along with a lower interest rate, compressing the repayment period to 15 years means you’ll wind up paying less in interest overall than you would with a longer-term loan.
Faster equity growth: With a 15-year loan, it’ll take less time to build equity in your home because more of your initial mortgage payments go towards principal rather than interest.
Stability: If you refinance to another fixed-rate loan, you’ll have consistent principal and interest payments. This might help you better map out your housing expenses for the long term. (Keep in mind your overall monthly housing expenses will change as your homeowners insurance and property taxes go up or down.)
Cons
Higher monthly payment: Repaying a mortgage over 15 years means you’ll have higher monthly payments compared to 30-year mortgages.
Buy less house: With higher payments, you might qualify for a smaller loan amount.
Less financial flexibility: Higher monthly payments can make it harder to budget for other goals, like saving for emergencies, retirement, college tuition or home repairs and maintenance.
Not sure whether to commit to the higher monthly payments? You can mimic the effect of refinancing to a 15-year loan by simply making extra payments on your existing 30-year loan. (This is an option with most every lender, but contact yours to confirm.)
You’ll pay less interest, avoid closing costs and shorten the pay off time while still keeping some wiggle room.
You can return to your initial, lower payment amount for that month or as long as you need to in the event of a financial emergency without incurring any penalties.
Deciding between a 15-year refi and increasing payments on your existing loan? You can see how extra payments will cut down on interest costs and shorten the amount of time it takes to pay off your mortgage by using our extra mortgage payment calculator.
Also read: What is Money Minting?
When to consider a 15-year refinance
If you currently have a 30-year mortgage and have room in your budget for a higher monthly mortgage payment, refinancing to a 15-year fixed-rate loan can make good financial sense. You’ll still have the stability of knowing that the monthly payment won’t change. Plus, you’ll pay off your home faster, freeing up money for other financial goals like saving for retirement. Keep in mind that you need to show the lender that you have enough income to cover a higher payment to qualify for the new loan.
On the other hand, if your main goal is to achieve the lowest possible payment, you’re better off refinancing to a 20- or 30-year mortgage. While starting fresh with a new long-term loan isn’t the right tactic for everyone, it is an option, especially if you need to trim monthly expenses.
It might be a good time to refinance into a 15-year loan if:
You’ve gotten a raise: Let’s say you took out a mortgage with a 30-year term five years ago, but your income has significantly increased since then. In that case, it could make sense to refinance into a 15-year loan.
Your payments will be higher compared to a 30-year loan, but your higher income could allow you to absorb the new cost and pay down your loan in half the time.
For further knowledge visit: bankrate.com “15 years mortgage refinance rates”:
- Comparing current 15 years mortgage refinance rates could reveal significant savings over your existing loan.
- Homeowners often seek lower 15 years mortgage refinance rates to build equity faster.
- 15 years mortgage refinance rates are typically lower than comparable 30-year loan rates.
- Before committing, obtain quotes from multiple lenders for the best 15 years mortgage refinance rates.
- Qualifying for the most competitive 15 years mortgage refinance rates usually requires a strong credit score.
- A key advantage of securing low 15 years mortgage refinance rates is drastically reducing the total interest paid over the loan’s life.
- Fluctuations in the broader economy heavily influence daily 15 years mortgage refinance rates.
- While offering savings, 15 years mortgage refinance rates come with higher monthly payments than longer terms.
- Carefully calculate if the savings from lower 15 years mortgage refinance rates offset the closing costs involved.
- The Federal Reserve’s decisions on interest rates can cause 15 years mortgage refinance rates to rise or fall.
- Locking in your rate is crucial when you find favorable 15 years mortgage refinance rates you want to secure.
- Using an online mortgage calculator helps estimate payments based on different 15 years mortgage refinance rates.
- Even a small difference in 15 years mortgage refinance rates can translate to thousands saved over the loan term.
- Lenders often advertise their most attractive 15 years mortgage refinance rates for borrowers with excellent credit.
- Consider the “break-even point” when evaluating if new 15 years mortgage refinance rates make financial sense for you.
- Refinancing into a 15-year loan at today’s 15 years mortgage refinance rates shortens your payoff timeline considerably.
- Be prepared to provide documentation on income and assets when applying for loans based on 15 years mortgage refinance rates.
- 15 years mortgage refinance rates for fixed loans provide payment stability for the entire loan term.
- Have you recently checked the market to see how today’s 15 years mortgage refinance rates compare to what you’re paying?
- The gap between 15 years mortgage refinance rates and 30-year rates can widen or narrow based on market conditions.
- Opting for slightly higher 15 years mortgage refinance rates might allow you to reduce closing costs via lender credits.
- Ensure your budget comfortably accommodates the higher payment required by low 15 years mortgage refinance rates.
- 15 years mortgage refinance rates on Adjustable-Rate Mortgages (ARMs) might start lower but carry future uncertainty.
- Improving your credit score before applying can significantly improve the 15 years mortgage refinance rates you’re offered.
- Always factor in the impact of property taxes and homeowners insurance when budgeting for payments tied to new 15 years mortgage refinance rates.
15-year refinance mortgage FAQ
What is a 15-year fixed-rate refinance mortgage?
A 15-year fixed-rate refinance mortgage replaces your current mortgage with a new one that has new terms — particularly a 15-year repayment term. People look at 15-year refinances to save money in one of two ways: securing a lower interest rate, lowering the repayment period or both. While you might save in the long run, 15-year refinances have higher monthly payments.
What are the requirements for a 15-year refinance loan?
To qualify for a home refinance, you must have a strong credit score, usually 620 or higher for a conventional refinance. You’ll also need a sufficient cash flow to support the new monthly payment. Not only will you need a monthly budget and income that accommodates enough funds for the payment, you’ll still need to be able to afford expenses such as repairs, maintenance and emergencies.
What are alternatives to a 15-year refinance?
One alternative is to try a different term. The 15- and 30-year terms get the most attention, but there are other games as well. A 20-year mortgage speeds up your repayment rate without bumping your payment as dramatically as a 15-year amortization. If you really want to retire that debt, try a 10-year term.
You can also keep your 30-year loan but make extra payments or put a little more toward the principal each month. Alternately, you could set up biweekly automatic payments. This strategy means you essentially make an extra monthly payment over a year. In either scenario, you’ll pay down your principal faster than 30 years. Make sure to check with your lender that your biweekly payments are being applied correctly.
Should you refinance an adjustable-rate mortgage (ARM) to a 15-year fixed mortgage?
Some people choose an ARM when they purchase their home, perhaps because they didn’t plan to stay in the home for long or needed a low monthly payment to get settled.
Priorities can change over time, though. Refinancing to a 15-year fixed-rate loan from your current adjustable-rate mortgage could provide you with stability, predictability and significant savings.
The interest rate, for instance, would be reset after five years with a 5/1 ARM. That means if the market rate rises, your interest rate and monthly payment would also rise.
How much can you potentially save by refinancing?
Refinancing comes with closing costs, just like original mortgages. Costs associated with closing can range anywhere from 2% to 5% of the loan amount. The closing costs of 3% on a $100,000 refinance would be $3,000, which is a significant sum.
Since the goal of refinancing is saving money, you’ll want to calculate how long it will take you to break even on the closing costs and start realizing actual savings. Our refinance calculator helps you quickly figure out how long it will take you to recoup closing costs so you can decide if refinancing is worthwhile.