Low rates encourage shorter mortgages

As mortgage rates hover near record lows, a growing number of homeowners consider shorter-term loans to pay off their mortgages earlier and regain equity at a faster pace. Is this a smart move or risky game? 30 year fixed rate mortgage – 3 month trend The benchmark 30-year fixed-rate mortgage rose to 3.62 percent from 3.59 percent, according to the Bankrate.com national survey of large lenders. The mortgages in this week's survey had an average total of 0.41 discount and origination points. One year ago, the mortgage index stood at 4.38 percent; four weeks ago, it was 3.7 percent. The benchmark 15-year fixed-rate mortgage rose to 2.91 percent from 2.88 percent. The benchmark 5/1 adjustable-rate mortgage rose to 2.72 percent from 2.68 percent. +

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