News Number of the Day Number of the Day Shows Mortgages Keep Getting Cheaper Our take on the most relevant or interesting figure in personal finance today By Diccon Hyatt Published on December 17, 2020 Sponsored by What's this? & Photo: The Balance That’s how good the average fixed rate on a 30-year mortgage is now—the 15th record low this year, according to new data from Freddie Mac. Mortgage rates continue to amaze in one of the few silver linings of the pandemic. In March, the rate hit its first record low of the year and in July it fell below 3% for the first time since Freddie Mac has kept track since the early 1970s. Interest rates make an enormous difference in the affordability of a home. For example, a 30-year fixed-rate mortgage of $250,000 would cost $1,010 a month in principal and interest payments at today’s rates. But the same loan in 1981, when mortgage rates hit 18.63%, would have cost $3,896 a month. Was this page helpful? Thanks for your feedback! Tell us why! Other Submit Sources The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy. Freddie Mac. "Mortgage Rates Hit Another Record Low."