Today’s Virginia Mortgage Rates

Did you know that mortgage rates in Virginia are generally lower than the U.S. average? A mortgage is a loan specifically used to purchase real estate. Securing a mortgage with a low rate can make your homebuying journey smoother by helping you spend less money over the life of the loan. When hunting for your dream home, shop for the best mortgage rates in Virginia to improve your borrowing experience.

According to FRED Economic Data, the national homeownership rate stood at 65.9% in 2022. In the Old Dominion, rates were slightly higher at 67.4%. Mortgages with favorable rates may contribute to more Virginians owning their homes.

Let's talk about current mortgage rates in Virginia. On average, the rate for a 30-year fixed-rate mortgage is 7.06% in Virginia, compared to 7.21% nationally. For the 15-year fixed rate, both Virginia and the U.S. average 6.45%. If you're eyeing a 5-year adjustable rate mortgage, Virginia again shines with a 7.15% average versus the U.S. rate of 7.41%.

Keep in mind that these rates fluctuate due to factors like economic conditions and lender competition. Staying updated on current rates can save you money by allowing you to lock in a lower rate when the opportunity arises. Timing is critical; even a slight drop in interest rates can lead to significant savings over the life of your loan. Different types of mortgages also offer various rates, so consider your options carefully.

Mortgage rates have a considerable impact on your financial well-being. Lower rates mean less interest over the life of the loan, leaving you with extra money for life's other needs or opportunities. Here are some tips to find the best mortgage rates in Virginia.

With these tips in your arsenal, you're well-equipped to find the best mortgage rates in Virginia. Whether boosting your down payment or utilizing a broker's expertise, you've got options to lower your rates. Make these strategies work for you, and watch your long-term financial outlook improve.

The average home value in the U.S. is around $349,770, but in Virginia, it's a bit higher at approximately $373,423. Knowing this can help you understand what kind of mortgage you'll need. Given the higher home values, a competitive mortgage rate can be especially helpful for house-hunting in Virginia.

Here are your options:

By understanding today's mortgage rates in Virginia and the types of mortgages available, you'll be better equipped to find a loan that suits your needs.

Buying a home is a big step, and knowing how to secure a mortgage in The Old Dominion can give you a significant leg up. Understanding the process can help you find better rates, save money and make your homebuying journey more manageable. Let's go through the steps to secure a mortgage.

Knowing these steps can set you up for a smooth mortgage experience, putting you ahead of the game in this competitive market. Securing a home loan with favorable mortgage rates in Virginia can make your entire homebuying experience less stressful.

Homeownership isn't just the cost of the house; you've also got to think about unexpected expenses like emergency repairs or homeowners insurance. Fortunately, Virginia Housing offers many mortgage programs and grants designed to make these financial burdens easier to handle. By providing access to some of the best mortgage rates in Virginia, these can make your monthly payments more affordable, leaving you better prepared for any extra costs that come your way. Keep this in mind as you plan for your home purchase — it could save you some stress down the line.

The Virginia Housing Conventional loan is a solid option for first-time and repeat homebuyers. One perk is that you'll need less cash upfront at closing than an FHA loan. The loan term is 30 years at a fixed rate, meaning your monthly payments stay the same. Plus, it offers the lowest conventional mortgage insurance costs you can find. Don't worry if you have a friend or family member who can help with the down payment — this loan allows for that. It even lets you put down as little as 1% or even 0% with special grants and second mortgages.

To qualify, you'll need a credit score of at least 640 and a debt-to-income ratio that's not over 50%. Income limits do apply, so make sure to check Virginia Housing's website for the latest info.

The Virginia Housing Conventional (No Mortgage Insurance) loan is like the standard Virginia Housing Conventional loan, but with a twist — you don't need mortgage insurance. It means more affordable monthly payments for you. Like its counterpart, this 30-year fixed-rate loan needs less cash at closing than an FHA loan. The flexibility with down payment sources still applies, including gifts and special grants.

You'll need a slightly higher credit score of 660 to be eligible. All the other requirements, such as a maximum 50% debt-to-income ratio and income limits, stay the same. This program offers a cost-saving edge by skipping mortgage insurance, making stepping into your new home even more accessible.

The Virginia Housing Plus Second Mortgage is an excellent option if you're a first-time homebuyer concerned about down payments. This program pairs a primary mortgage with a second one that covers your down payment. Depending on your credit score, you can secure a second mortgage of 3% to 5% of the home's purchase price. You can include some of your closing costs if your score is 680 or higher. It's a 30-year, fixed-rate loan with no prepayment fees. Just ensure you have 1% of the home's purchase price available at closing and that you meet the income guidelines.

The Virginia Housing Loan Combo is a fantastic package for first-time homebuyers. This isn't just a mortgage — it's a set of perks rolled into one offer. Let's break down what's in it for you. First, you get a down payment grant you never have to repay. Second, you get a complimentary homebuyer course to guide you through the entire process, giving you the tools you need to succeed.

The Down Payment Assistance Grant from Virginia Housing is a big help for first-time homebuyers. This funding isn't a loan, so you don't need to worry about repaying it. You can get a grant of up to 2.5% of your home's purchase price. To qualify, make sure your household income doesn't exceed the Virginia Housing loan limits. Also, you'll need to lock in your eligible Virginia Housing mortgage before getting the grant. With Virginia mortgage rates today being as competitive as they are, this grant can tip the scales in your favor for homeownership.

The Closing Cost Assistance Grant is a solid option if you're eyeing a Veterans Affairs (VA) loan or a Rural Housing Service (RHS) through Virginia Housing. It slashes your upfront costs — you could get up to 2% of the home's purchase price to cover expenses like closing costs or VA funding fees.

This is a grant, so you won't pay it back. Just make sure you're a first-time homebuyer, and your household income fits within Virginia Housing's guidelines. Lock in your RHS or VA loan first, then grab this grant to make homeownership more affordable.

If you're curious about mortgage rates in Virginia, you're not alone. This section offers insights into how Virginia's mortgage rates stack up and what you can expect as a borrower in the Old Dominion.