<p><img src="https://static2.businessinsider.com/image/601418c66dfbe10018e00b0c-1666/Best%20mortgage%20and%20refinance%20rates%20daily%20Blue%204x3_2021.png" border="0" alt="Mortgage rates today" data-mce-source="Alyssa Powell/Insider" data-mce-caption="Below, find the best mortgage and refinance rates today."></p><p></p><bi-shortcode id="table-of-contents-sticky" class="mceNonEditable" data-type="h2">Table of Contents: Masthead Sticky</bi-shortcode><bi-shortcode id="summary-shortcode" data-type="summary-shortcode" class="mceNonEditable" contenteditable="false">Summary List Placement</bi-shortcode><bi-shortcode id="disclaimer" class="mceNonEditable" data-type="pfi"></bi-shortcode><p>Many mortgage and refinance rates have increased since last Friday, though they are still at historic lows in general.</p><p>Today could be a good chance to lock in a low rate on a<a href="https://www.businessinsider.com/personal-finance/fixed-rate-mortgage-vs-adjustable-rate-mortgage" target="_blank" rel="noopener">fixed-rate mortgage</a> but you might want to avoid an adjustable-rate mortgage.</p><p>With an ARM, your rate fluctuates periodically. Darrin English, Senior Community Development Loan Officer at<a href="https://www.quonticbank.com/" target="_blank" rel="noopener">Quontic Bank</a>, told Insider fixed-rate mortgages used to be a worse deal than ARMs, as fixed rates were often higher than ARMs introductory interest rates. Now, he said this isn't the case.</p><p>ARM rates are starting higher than fixed rates, with a chance for your rate to go up in the future. You may want to consider getting a fixed-rate mortgage or refinancing soon.</p><div><div class="ca-widget" data-token="p83018dcddd4"></div><script async defer src="https://www.consumersadvocate.org/embeds/embedder.js'v=1"></script></div><h2>Mortgage rates for Friday, February 5, 2021</h2><div><div class="ca-widget" data-token="d04566cc21b7"></div><script async defer src="https://www.consumersadvocate.org/embeds/embedder.js'v=1"></script></div><table style="width: 100%; border-collapse: collapse; height: 127px;" border="1" cellpadding="10px"><tbody><tr style="height: 43px;"><td style="width: 25%; height: 43px; text-align: center;"><strong>Mortgage type</strong></td><td style="width: 25%; text-align: center; height: 43px;"><strong>Average rate today</strong></td><td style="width: 25%; text-align: center; height: 43px;"><strong>Average rate last week</strong></td></tr><tr style="height: 21px;"><td style="width: 25%; height: 21px; text-align: center;">15-year fixed</td><td style="width: 25%; text-align: center; height: 21px;">2.33%</td><td style="width: 25%; text-align: center; height: 21px;">2.31%</td></tr><tr style="height: 21px;"><td style="width: 25%; height: 21px; text-align: center;">30-year fixed</td><td style="width: 25%; text-align: center; height: 21px;">3.11%</td><td style="width: 25%; text-align: center; height: 21px;">3.05%</td></tr><tr style="height: 21px;"><td style="width: 25%; height: 21px; text-align: center;">7/1 ARM</td><td style="width: 25%; text-align: center; height: 21px;">3.86%</td><td style="width: 25%; text-align: center; height: 21px;">3.80%</td></tr><tr style="height: 21px;"><td style="width: 25%; height: 21px; text-align: center;">10/1 ARM</td><td style="width: 25%; text-align: center; height: 21px;">3.82%</td><td style="width: 25%; text-align: center; height: 21px;">3.66%</td></tr></tbody></table><p><em>Rates from Ad Practitioners LLC.</em></p><p>Since last Friday, mortgage rates have ticked upbut they remain at striking lows overall.</p><p>We're showing you the national average rates for<a href="https://www.businessinsider.com/personal-finance/conventional-mortgage" target="_blank" rel="noopener">conventional mortgages</a>, which may be what you consider "normal mortgages." You may be eligible for a lower rate with a<a href="https://www.businessinsider.com/personal-finance/government-home-loans" target="_blank" rel="noopener">government-backed mortgage</a>through the<a href="https://www.businessinsider.com/personal-finance/fha-loan" target="_blank" rel="noopener">FHA</a>,<a href="https://www.businessinsider.com/personal-finance/va-loans" target="_blank" rel="noopener">VA</a>, or<a href="https://www.businessinsider.com/personal-finance/usda-loan" target="_blank" rel="noopener">USDA</a>.</p><p>Mortgage rates are still at historic lows across the board. Frequently, low rates are an indicator of a struggling economy. Rates will probably remain low as the US continues to grapple with the economic impact of the COVID-19 pandemic.</p><h2>Refinance rates for Friday, February 5, 2021</h2><div><div class="ca-widget" data-token="f0307c6020cb"></div><script async defer src="https://www.consumersadvocate.org/embeds/embedder.js'v=1"></script></div><table style="border-collapse: collapse; height: 128px;" border="1" cellpadding="10px"><tbody><tr style="height: 43px;"><td style="width: 257px; height: 43px; text-align: center;"><strong>Mortgage type</strong></td><td style="width: 257px; text-align: center; height: 43px;"><strong>Average rate today</strong></td><td style="width: 258px; text-align: center; height: 43px;"><strong>Average rate last week</strong></td></tr><tr style="height: 21px;"><td style="width: 257px; height: 21px; text-align: center;">15-year fixed</td><td style="width: 257px; text-align: center; height: 21px;">2.58%</td><td style="width: 258px; text-align: center; height: 21px;">2.58%</td></tr><tr style="height: 21px;"><td style="width: 257px; height: 21px; text-align: center;">30-year fixed</td><td style="width: 257px; text-align: center; height: 21px;">3.47%</td><td style="width: 258px; text-align: center; height: 21px;">3.60%</td></tr><tr style="height: 21px;"><td style="width: 257px; height: 21px; text-align: center;">7/1 ARM</td><td style="width: 257px; text-align: center; height: 21px;">4.19%</td><td style="width: 258px; text-align: center; height: 21px;">4.14%</td></tr><tr style="height: 21px;"><td style="width: 257px; height: 22px; text-align: center;">10/1 ARM</td><td style="width: 257px; text-align: center; height: 22px;">4.22%</td><td style="width: 258px; text-align: center; height: 22px;">3.92%</td></tr></tbody></table><p><em>Rates from Ad Practitioners LLC.</em></p><p>Since last Friday, refinance rates on adjustable-rate mortgages have increased. The 15-year fixed mortgages have remained flat, and 30-year fixed rates have gone down. Rates are still at all-time lows in general.</p><h2><strong>15-year fixed mortgage rates</strong></h2><p>With a<a href="https://www.businessinsider.com/personal-finance/15-year-mortgage-rates" target="_blank" rel="noopener">15-year fixed mortgage</a>, you'll pay off your loan over 15 years and pay the same interest rate the whole time.</p><p>A 15-year fixed mortgage will be less expensive than a 30-year term. It will take you half the time to pay off the loan and you'll receive a lower interest rate as well.</p><p>However, you'll pay more monthly with a 15-year term than with a 30-year fixed mortgage because you'll pay off the same <a href="https://www.businessinsider.com/personal-finance/mortgage-principal" target="_blank" rel="noopener">mortgage principal</a>in half the time.</p><h2><strong>30-year fixed mortgage rates</strong></h2><p>With a<a href="https://www.businessinsider.com/personal-finance/30-year-mortgage-rates" target="_blank" rel="noopener">30-year fixed mortgage</a>, it will take you 30 years to pay down your loan, and your interest rate will not change throughout the entire term.</p><p>You'll pay a higher interest rate with a 30-year fixed mortgage than with a 15-year fixed mortgage. In the past, you'd pay a higher interest rate with a 30-year term than with an adjustable-rate mortgage. Currently, 30-year terms are the more favorable deal.</p><p>Your monthly mortgage payments will be smaller with a 30-year fixed mortgage than with a 15-year fixed mortgage. You'll pay less each month because you're spreading out your payments over an extended period.</p><p>It will cost you more in interest with a 30-year term than a 15-year term, as you're paying a higher interest rate for more years.</p><h2><strong>Adjustable mortgage rates</strong></h2><p>An adjustable-rate mortgage, commonly referred to as an ARM, will secure your rate for the first several years. Then it will change the rate periodically. A 7/1 ARM secures your rate for seven years. Then, your rate will increase or decrease annually.</p><p>A fixed-rate mortgage may still be the best dealeven as ARM rates are currently at all-time lows. You can lock in a low rate for 15 or 30 years without the potential headache of an ARM rate increase in the future.</p><p><a href="https://www.businessinsider.com/personal-finance/adjustable-rate-mortgage" target="_blank" rel="noopener">If you're considering getting an ARM</a>, discuss with your lender what your individual rates would be if you chose a fixed-rate versus an adjustable-rate mortgage.</p><h2><strong>How to obtain a low mortgage rate</strong></h2><p>It might be a good time to secure a low mortgage rate.</p><p>Fixed and adjustable mortgage rates are at historic lows, so it may be an excellent opportunity to lock in a low rate.</p><p>However, if you're thinking about applying for a mortgage or refinancing, there's no need to hurry. Rates will probably remain low well into 2021, if not longer, so you still have time to increase your financial profile. Here are a few ways you can get the lowest possible rate:</p><ul><li><a href="https://www.businessinsider.com/personal-finance/how-to-increase-your-credit-score-improve-credit" target="_blank" rel="noopener"><strong>Increase your credit score</strong></a><strong>.</strong>You can begin by<strong></strong>making your payments on time, paying down your debts, or letting your credit age. You'll get a lower interest rate with a higher score, and a score of at least 700 will likely get you an improved rate from many lenders.</li><li><a href="https://www.businessinsider.com/personal-finance/how-to-save-down-payment-house" target="_blank" rel="noopener"><strong>Save more for a down payment</strong></a><strong>.</strong>Depending on<a href="https://www.businessinsider.com/personal-finance/types-of-mortgage-loans" target="_blank" rel="noopener">which type of mortgage</a>you want, lenders might require between 0% and 20% for a down payment. You can increase your chance at a better interest rate from your lender with a higher down payment.</li><li><strong>Lower your debt-to-income ratio.</strong>Your<a href="https://www.businessinsider.com/personal-finance/how-to-calculate-debt-to-income-ratio" target="_blank" rel="noopener">DTI ratio</a>is the amount you pay toward debts each month, divided by your gross monthly income. Many lenders want to see a DTI ratio of 36% or less, and an even better ratio can result in a lower rate. To better your ratio, pay down debts or look for opportunities to increase your income.</li></ul><p>You may want to secure a low rate on your mortgage today. However, there's no need to hurry if you're not financially prepared.</p><p><em>Ryan Wangman is a reviews fellow at Personal Finance Insider reporting on mortgages, refinancing, bank accounts, and bank reviews. In his past experience writing about personal finance, he has written about credit scores, financial literacy, and homeownership.</em></p><p><em>Laura Grace Tarpley is the associate editor of banking and mortgages at Personal Finance Insider, covering mortgages, refinancing, bank accounts, and bank reviews. She is also a Certified Educator in Personal Finance (CEPF). Over her four years of covering personal finance, she has written extensively about ways to save, invest, and navigate loans.</em></p><div><iframe src="https://smartasset.com/captivate/frame/umonjdcr" width="100%" height="630px" scrolling="auto" style="border: none;"></iframe></div><bi-shortcode id="related-content-module" class="mceNonEditable" data-type="more-mortgage-coverage" data-sheetname="More Mortgage Coverage">Related Content Module: More Mortgage Coverage</bi-shortcode><p><a href="https://www.businessinsider.com/personal-finance/mortgage-refinance-rates-today-february-5-2021-2#comments">Join the conversation about this story »</a></p>
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