Washington DC Mortgage Rates
Washington, DC, formally known as District of Columbia, not only enjoys a high median household income per the U.S. Census Bureau’s 2015 income and poverty estimates. It also boasts of a high homeownership rate among Latino and black households between 1990 and 2015. How are mortgage rates in the DC metro, you ask.
Shop and compare mortgage rates in the Washington DC area at mortgagesum.com. Enter your zip code and find out today’s rates for buying a home or refinancing. Click here to know more.
Mortgages in Washington DC
Homes in the District have a median price of $349,000 and their values had leapt by 10.9% the past year, currently at $342,000 according to Zillow.
Various mortgage products for refinance or purchase are available in the District of Columbia. They range from the standard mortgage financing to portfolio lending, but the more basic ones are as follows.
- 30-year fixed-rate mortgage. As in anywhere in the U.S., the 30-year fixed-rate mortgage is designed to keep your monthly payments low and that could go further down with rates holding at 4%. It also has stable payments because its rate remains fixed over its term.
- 15-year fixed-rate mortgage. The 15-year FRM enables you to pay off your mortgage twice as fast as the 30-year FRM. Its rates can be lower than the 30-year although the discrepancy can be negligible sometimes.
- 5/1 hybrid adjustable-rate mortgage. It is an adjustable-rate mortgage with a fixed rate for the first five years of the loan; thereafter, the rate will adjust once a year. The 5/1 ARM combines the stability of the fixed-rate mortgage and low rates of an ARM.
- Refinance rates. They are practically the same with purchase mortgage rates and vary when you do a rate-and-term refinance (basic) or a cash-out refi. Cash-out involves a larger loan amount so the rates are higher on that one than on a basic refinance.
- FHA rates. FHA loans are made for low-to-moderate income households with less stringent guidelines on credit scores and debt-to-income ratios. Rates on FHA loans are also competitively priced.
Moreover, homebuyers and homeowners can benefit from various HUD counseling and homeownership services in the District of Columbia.
