Wells Fargo Mortgage Rates

Mortgages are not only a form of debt that people pay on they are also a form of investment. Mortgage rates have fluctuated dramatically over the past few years due to the housing crash of 2008. In fact, current mortgage interest rates are fairly low, and homeowners are advised to refinance their mortgage before rates go up. Housing prices are also low, which has created a buyer’s market as well. Current mortgage rates will be affected by current market interest rates, but mortgage rates will vary from one lender to another. Wells Fargo is one of the most well known mortgage lenders on the market.

Mortgage lenders like Wells Fargo provide many different types of mortgages to their customers. Each type of mortgage is designed to meet the various needs of homeowners and new home buyers. There are many factors that dictate a mortgage rate with Wells Fargo that people should be aware of before refinancing or purchasing a new home. First off, the type of Wells Fargo rate on a mortgage will play a huge role with how much the borrower will pay in interest on the home loan. For example, Wells Fargo mortgage rates are offered through fixed rate loans, variable rate loans and adjustable rate loans.

It’s important for a new homeowner or a homeowner that is interested in refinancing their current mortgage to understand the differences between variable rate, fixed rate and adjustable rate mortgages. Fixed rate mortgages provided by Wells Fargo are one of the most popular forms of mortgages made available. The rate on a fixed rate mortgage never changes, regardless of the market interest rates. During the entire life of the mortgage, the interest rate will never change, making this type of mortgage a perfect choice for those who are planning for long term goals.

On the other hand, a variable rate mortgage loan will have a rate that will go up after a set period of time has passed on the mortgage. At that point, the current market interest rates will be the deciding factor with how much interest a mortgage holder will pay. An adjustable rate mortgage will have an interest rate that will continue to be adjusted according to the federal interest rates and the market interest rates as well. Both variable rate and adjustable rate mortgages are primarily used by homeowners who are planning for short term goals.

In other words, homeowners who are planning on refinancing before interest rates go up will use variable rate or an adjustable rate mortgage. Those who are planning on paying off their mortgage before interest rates go up also use these types of mortgages, since they typically have a lower interest rate in the beginning of the loan. Another factor that will play a key role with how much interest will be on a Wells Fargo mortgage is the term of the mortgage. For example, 30 year fixed rate mortgages will typically have a slightly higher interest rate than a 15 year fixed mortgage.

Jumbo loans are also offered by Wells Fargo, which typically charge a higher interest rate than all other types of mortgages when the jumbo loan is a 30 year fixed mortgage. Current interest rates for a traditional 30 year fixed mortgage with Wells Fargo is around 4.5%, while jumbo loans at a 30 year fixed rate are around 4.875%. Current interest rates on a traditional 15 year mortgage by Wells Fargo are currently around 3.625%. These rates can change over time so it’s important to get in on a Wells Fargo mortgage when interest rates are low.