Mortgage rates declined across the board this week, with the 30-year fixed rate falling further to 7.07%, according to the Mortgage Bankers Association. Less than two months ago, the rate on a 30-year mortgage was 7.9%. Additionally, the FHA loan rate dipped to 6.84%, making this government-backed mortgage a wise choice for prospective buyers.
Mortgage interest rates are still forecasted to stay higher for longer into 2024. Here are the current mortgage rates, as of Dec. 13:
- 30-year fixed: 7.07% with 0.59 points (previous week: 7.17% with 0.6 points).
- 15-year fixed: 6.67% with 0.58 points (previous week: 6.8% with 0.77 points).
- 5/1 ARM: 6.47% with 0.76 points (previous week: 6.58% with 0.69 points).
- 30-year jumbo loans: 7.22% with 0.37 points (previous week: 7.35% with 0.44 points).
- 30-year FHA loans: 6.84% with 0.72 points (previous week: 6.98% with 0.84 points).
Iowa homebuyers can get help with down payments and closing costs from these Iowa Finance Authority (IFA) programs.
- Available to: First-time homebuyers, buyers who have not owned a primary residence in the last three years, buyers purchasing in a targeted area, or military members who did not previously use a mortgage revenue bond program. Must have a minimum credit score of 640.
- Income limits: Vary by county (see income limits).
- First-time homebuyers only?: No.
- Down payment and closing cost assistance: Borrowers can get a down payment assistance grant of up to $2,500, or a second loan for up to 5% of the home’s sale price or $5,000.
- Available to: First-time and repeat homebuyers who are purchasing a primary residence in Iowa and have a minimum 640 credit score.
- Income limits: Vary by county (see income limits).
- First-time homebuyers only?: No.
- Down payment and closing cost assistance: Borrowers can get a down payment assistance grant of up to $2,500, or a second loan for up to 5% of the home’s sale price or $5,000.
U.S. News selects the Best Loan Companies by evaluating affordability, borrower eligibility criteria and customer service. Those with the highest overall scores are considered the best lenders.
To calculate each score, we use data about the lender and its loan offerings, giving greater weight to factors that matter most to borrowers. For mortgage lenders, we take into account each company’s customer service ratings, interest rates, loan product availability, minimum down payment, minimum FICO score and online features.
The weight each scoring factor receives is based on a nationwide survey on what borrowers look for in a lender.
To receive a rating, lenders must offer qualifying loans nationwide and have a good reputation within the industry. Read more about our methodology.
To recap, here are the picks:
