Finding the best home loan in Philadelphia is getting harder with the credit crunch. But this article will help you find the best mortgage rates in Philadelphia.
Whether you’re buying or refinancing, there are several things to consider and watch out for when you’re looking for a mortgage. Rates are nearly always local, so mortgage rates in Philadelphia are different from those in New York or Boston.
Before we look at where to find the best mortgage rates in Philadelphia, let’s look at some basic mortgage information that you may already know, but should be reminded of. First, your home’s price and payment needs to be affordable. Your monthly payment should be less than 1/3 of your total monthly income and you should have at least 10% as a down payment (20%+ is better) to get the best rates and values.
Currently, the best mortgage rates in Philadelphia depend upon your loan type and needs. Assuming a 20% down payment or equity value on purchase (or combination of the two), a credit score of 700 or better (FICO), and other factors leading to an optimal situation, we can look at the best home loan in Philadelphia for you. Your situation is likely somewhat different than the one used for our example, but this should give you a good basic guideline to consider while talking with your financial advisor.
For a 30 year fixed rate mortgage, the best mortgage rates in Philadelphia are at Bank of America with a 4.875% interest rate (5.088% APR) with a flat fee of $1,400 and 2 points. Beneficial Bank might be a little better for you, with a 5.0% interest (5.013% APR) with a low fee of $500 and no points.
A 15 year fixed rate mortgage might have the best mortgage rates in Philadelphia for you being at TD Bank with a 4.25% interest (4.268% APR) and a low fee of $425 with no points. Definitely one of the best home loan in Philadelphia right now.
If an adjustable rate mortgage (ARM) is right for you, then a 5/1 at TD Bank has a 3.74% interest (3.568% APR) with no points and 2/2/5 (1st/add/life).
Above all, no matter your situation, be sure that you can afford the house you’re purchasing and that the mortgage rates in Philadelphia match your ability to pay now and in the future. Talk to your financial adviser to be sure you’re on the right track.
During your home buying process you need to constantly be monitoring mortgage rates. Check out our site called Philadelphia Mortgage Rates to always know the best rates around Philadelphia. If you are looking for other rates in general, check out bank rates.
