How To Know What Your Mortgage Rate Will Be
The interest rates and annual percentage rates for the mortgage options listed above are averages. The interest rate you’re offered will depend on factors such as your credit score, loan amount, down payment and loan type.
We can give you a better idea of the interest rate you should expect by matching you with the lenders in our network. After you enter some basic information, we’ll find lenders that fit your financial needs and can explain your loan options.
Choosing The Right Mortgage
Different mortgage options serve specific types of borrowers and circumstances:
- Conventional loans are the most common and tend to be cheaper than FHA loans, but they have stricter eligibility requirements.
- FHA loans have looser credit requirements. These mortgages backed by the federal Housing Administration can be cheaper than conventional loans for borrowers with a lower credit score and smaller down payment.
- VA loans are insured by the Department of Veterans Affairs and available only to eligible military personnel, veteran and their surviving spouses.
- Jumbo loans exceed the Federal housing finance Agency’s limits on conforming conventional loans. You may need a jumbo loan if you’re buying a refinancing a home in a high-cost area.
Ready To Buy A Home
Connect with a lender that will work with your unique financial situation, or use our calculators to estimate how much home you could afford.
Consistent Monthly Payments
If you aren’t sure whether to go with a fixed-rate or adjustable-rate mortgage, here are the key differences:
- With a fixed-rate mortgage, your interest rate is set when you close and never changes. This gives you a consistent principal and interest payment every month.
- With an ARM, your interest rate remains the same for an introductory period but then wll adjust every so often, causing your monthly payment to fluctuate.
If you have an arm and would like more predictable monthly payments, you may want to refinance to a fixed-rate mortgage
Refinance Your Mortgage
When you refinance, you replace your current mortgage with a new one that has more favorable terms for you.
Reasons To Refinance
Here are some reasons you may want to refinance:
- Lower your interest rate and monthly payment.
- Pay off your mortgage sooner and save on interest.
- Switch from an ARM to a fixed-rate mortgage.
Should You Refinance Now?
Here are some questions to ask if you’re thinking of refinancing:
- Are interest rates lower now than when you took out your mortgage? If so, refinancing could help you lower your monthly payment and save money on interest.
- Are you planning to move soon? If you are, you may not have enough time to recoup the upfront costs of refinancing.
- Has your credit score improved? If your credit score is higher than when you first took out your mortgage, you could get a lower interest rate by refinancing.
- Does your mortgage have a prepayment penalty? If you’ll be charged for paying off your mortgage ahead of schedule, it may not make sense to refinance to reduce your loan term.
Steps To Refinance
If you think refinancing is right for you, here’s how to make it happen:
Close on the new loan. You’ll sign all the necessary paperwork, pay closing costs and finalize your refinance.
Choose your refinance type. A rate-and-term refinance changes your interest rate and loan term, while a cash-out refinance allows you to borrow some of your equity as cash.
Pick a lender. You can refinance with your current lender, but you don’t have to. Shop around and request estimates from a few different lenders to make sure you’re getting the best deal.
Gather the necessary documents. Your lender will require recent documentation of your income, employment, savings and debts.
Go through underwriting. The lender will verify your financial information and order a home appraisal.
Why Quicken Loans?
Quicken Loans is simplifying the process of choosing the perfect solution for your unique financial needs, and we’ve made it our mission to empower you with the information you need to make confident decisions.
Frequently Asked Questions
Here are answers to some common questions about mortgage rates.
The U.S. Department of Housing and Urban Development (HUD) recently announced new loan limits for Federal Housing Administration (FHA) loans. Below are the 2026 FHA loan limits for low-cost and high-cost areas. Limits in areas like Alaska, Hawaii, Guam, and the U.S. Virgin Islands are higher.
Low-cost areas
1-unit: $541,287
2-unit: $693,050
3-unit: $837,700
4-unit: $1,041,125
High-cost areas
1-unit: $1,249,125
2-unit: $1,599,375
3-unit: $1,933,200
4-unit: $2,402,625