Skip to main content
_FB_2018-Icons-finalized-cleaned-up_new_FB_2018-Icons-finalized-cleaned-up_newGroup 9
Back
Scroll to top

Current Mortgage Rates 30-Year Fixed

Homebuying 3 min read

Ready to talk to an expert?

Is now the right time to buy the house you have your heart set on? One important thing to consider is the current mortgage rate trends and whether a 30-year fixed-rate mortgage is a good fit for you. At First Bank, our real-estate loan experts can answer your questions about mortgage rates and more.

Current Mortgage Rates 30-Year Fixed

What is a 30-year fixed-rate mortgage?

In the most basic terms, this kind of mortgage provides you with a guarantee that the “interest rate and your monthly payments for principal and interest remain the same for the entire length of the loan.”

  • Budget-friendly: Easily manage and plan your monthly budget without worrying about fluctuating interest rates. It also gives you more breathing room in case your current financial situation changes for whatever reason at some point in the future.
  • Save now: A 30-year loan means lower monthly payments spread out over a longer period of time, in contrast to the high monthly payments of a shorter-term loan. This means the money you save monthly with a longer-term loan can go into your savings or investment accounts now, instead of putting it towards paying off your mortgage immediately.
  • Get flexibility: The beauty of a 30-year mortgage is that even though you have lower monthly payments, you can choose to submit a higher payment equivalent to the monthly rate for a shorter-term loan. This means you can decrease your overall total that much more when you have a bit of extra cash in the bank, but still submit your loan’s lower payment rate when your money is a little tighter.

What determines my interest rate?

Mortgage interest rates vary depending on several factors, including:

  • The economy. Mortgage rates can fluctuate in some states due to unemployment rates, default and foreclosure rates and differing property values.
  • State laws. States that allow recourse typically have lower mortgage rates.
  • Size of competition. When you have multiple lenders competing for your business, loan costs are typically driven down.
  • Market conditions. An increase or decrease in home building and sales can drive interest rates up or down.
  • Government. Government policies like the Federal Reserve can cause mortgage interest rates to fluctuate.

30-Year Fixed Mortgages from First Bank

With a 30-year fixed-rate mortgage from First Bank, home buyers can enjoy a fixed interest rate and lower monthly payments. Some of the benefits of a First Bank 30-year fixed-rate mortgage include:

  • You can better plan your budget with predictable monthly P&I payments
  • Protection from rising interest rates for the duration of the loan
  • Often a good choice if you plan to stay in your home for a long time

To learn more, locate one of our mortgage specialists using this loan officer finder to set-up an in-office consultation. If none of our loan officers are located near you, fill out our easy-to-use online application. A specialist will contact you directly to address your specific needs.

We’re confident our experts can guide you to discover and apply for a 30-year fixed-rate mortgage option* that addresses your current and future needs.


*Loans subject to credit approval.

———

Sources:

BankRate: http://www.bankrate.com/finance/mortgages/basics-of-the-30-year-fixed-rate-mortgage.aspx

AllBusiness: https://www.allbusiness.com/barrons_dictionary/dictionary-principal-and-interest-payment-pi-4956628-1.html

Ready to talk to an expert?

Share:
First Bank’s Good To Know Logo
Sign up for our newsletter and be the first to know about new tips, insights, and products from First Bank.
First Bank may use this email address to contact you about products, services, and promotions.

You may be interested in...

FHA Mortgage Loan Insurance If you’re in the market for a new home, it’s quite likely that you have thought about acquiring mortgage loan insurance through the Federal Housing Administration (FHA). Established in 1934, the FHA has helped millions of people insure their properties. Over the years, especially following the economic crisis of 2008, the FHA has implemented requirements for potential homebuyers. Loan Limits To remain eligible for FHA loan insurance, consumers must fall within the loan limits. These limits are not only divided by state but are also doled out per county. If you’re curious as to what your state’s FHA loan limits are, you can refer to the Federal Housing Administration’s website. Debt-to-Income Ratio This ratio was set to ensure homebuyers do not purchase a property that they cannot afford. By using these calculations, it can be determined whether or not a person has the potential to meet the demands of owning a home.  The ratio is looked at in two different ways: Mortgage payment expense to effective income = Total mortgage payment divided by gross monthly income. The maximum qualifying ratio is 31%. Total fixed payment to effective income = Total mortgage payment added to monthly revolving and installment debt, which is then divided by gross monthly income. The maximum qualifying ratio is 43%. Credit FHA requires that a borrower have good credit standing. In order to receive approval, a lender analyzes the borrower’s past credit performance. Loan approval will likely be declined should the credit history reveal slow payments, poor financial decisions, and delinquent accounts. Other issues are having no credit history, filing for Chapter 7 or Chapter 13 bankruptcy, making late payments, being subjected to foreclosure, and receiving collections, judgements, or federal debts. Apply for an FHA Loan with First Bank You have a friend at First Bank to better understand the loan requirements. We work with the Federal Housing Administration to offer FHA insurance mortgages. In order to quicken the process, you can apply online. Just be prepared with some financial information, such as income, assets, and expenses; you will also have to know the property’s information, like the estimated purchase price and down payment (if buying) or estimated property value and loan amount (if refinancing). ——— Sources: 2 min read
15-Year North Carolina Mortgage Rates Looking for information and assistance in choosing a 15-year mortgage rate that suits your needs? First Bank has a North Carolina location nearby that can help you with your decision to invest in a 15-year mortgage. 15-year North Carolina mortgage rates can vary and depend on a number of factors with your application, but to get a rough idea of the current average rates check out the Mortgage News Daily. 15-Year North Carolina Mortgage Rates | First Bank First Bank offers conventional fixed-rate mortgages in terms of 15, 20, and 30 years. Our 15-year fixed-rate mortgages offer predictable monthly payments, as your interest rate and your total monthly payment of principal and interest will remain the same for the duration of the loan. Benefits include: Predictable monthly P&1 payments allow you to budget easily Protection from rising interest rates for the duration of the loan Overall interest paid on 15-year mortgages will be less than other longer-term loans Understanding Mortgage Rates in North Carolina One advantage of a 15-year mortgage rate is that it has a more competitive interest rate than that of its 30-year counterpart. A 15-year mortgage rate may allow the borrower to pay less interest over the duration of the mortgage and build equity more quickly. However, the disadvantage is that your monthly mortgage payments might be higher than that of a 30-year mortgage because you are essentially paying off the mortgage in half the amount of time. Mortgage rates come in the form of fixed or adjustable. The advantage of a fixed-rate mortgage is that your interest rate and mortgage payments will never change during the lifetime of your mortgage. Because of this stability, fixed-rate mortgages are the most popular kind of home mortgages. Adjustable rate mortgages (ARM) come with a fluctuation of interest rates from year to year that are dictated by and reflective of the market. Regardless of the type of the mortgage you choose, the payment of principal itself is only a portion of what’s included in a monthly mortgage payment. Borrowers also must pay the interest, and typically property tax, property insurance, and sometimes mortgage insurance. Compare 15-Year NC Mortgage Rates at First Bank First Bank has several convenient locations in North Carolina and offers mortgages of 3 min read