Mortgage Rates: Still the Deal of the Century

Mortgage rates play a significant role in how much home you can afford, and it's important to watch them carefully as a homebuyer. The lower the rate, the better — even a small rise in rates can make a home that was once affordable, unaffordable.

Mortgage rates change frequently. Over the last 45 years, they have ranged from a high of 18.63% (1981) to a low of 3.31% (2012). While it's not likely that the average 30-year fixed mortgage rate will return to its record low, the current average rate of 3.45% is pretty close— all to your advantage.

To put the financial importance of mortgage rates in perspective, this chart outlines a $200,000 loan financed at various rates over the past 50 years.

Buying a home is a big investment — perhaps the biggest one you'll make in your life. So, it's important to be sure you're ready to make that purchase. If you are ready, today's rates are not to be missed.

SOURCE: FreddieMac.com