Today's Mortgage Rates in Tennessee

Enter your ZIP code to get started

Shield

Free. Simple. Secure.

fact checked icon

Updated: July 16, 2024

Advertising & Editorial Disclosure

Today's 30-year mortgage rate in Tennessee is 6.80%, lower than the current national average rate of 6.90% for the same type of mortgage. Tennessee homebuyers have access to beneficial programs like Great Choice Home Loans for first-time homebuyers and Homeownership for Heroes, which can help reduce mortgage costs.

With comprehensive insights and clear explanations, we'll help you navigate the landscape of today's 30-year mortgage rates in Tennessee. You'll discover how these rates vary by loan type and credit score, learn about the difference between interest rate and APR and see the various mortgage rate structures that are available. Information on mortgage lenders and state-specific programs will equip you with the knowledge to make informed decisions about your home financing options in Tennessee.

MoneyGeek uses publicly available data from Zillow for the rates on this page. Mortgage rates shift daily, and we take a snapshot of rates to analyze rate information for Tennessee. We update the data frequently to ensure you have access to the most recent rates, but the values may differ slightly between reporting sources.

Unless specifically noted otherwise, rates featured in the content are annual percentage rates (APRs).

recency icon

This data was last updated on July 2, 2024.

Current Mortgage Rates in Tennessee

In Tennessee, the July 2024 average APR for a 30-year fixed-rate mortgage has increased to 6.80% from 6.62% in June. This slight rise demonstrates the impact that even small changes in the current mortgage rate can have on your finances. For a $250,000 loan with a 20% down payment, it means an increase in overall cost by $8,601, not including additional expenses like property taxes or HOA fees. Monitor these rates, as a minor change could influence your budget in the long run.

Rates can change frequently due to economic data releases and central bank decisions. Our line chart indicates the rise and fall of rates over recent months, directly affecting your monthly payments.

Current Mortgage Rates in Tennessee (Jan to May)

Understanding the current mortgage rates in Tennessee helps you budget for a home purchase.

Who Needs to Know Current Mortgage Rates in Tennessee?

Understanding today's mortgage interest rates in Tennessee amid shifts in the housing market can benefit first-time buyers and those looking to refinance.

    coupleG icon

    First-time homebuyers

    Knowing current mortgage rates helps first-time homebuyers in Tennessee gauge what rates to expect and spot competitive offers.

    homeowner icon

    Homeowners with mortgages

    Homeowners may benefit from lower payments and decide to pursue a mortgage refinance if the rates are favorable.

Purchase rates and refinance rates differ. In Tennessee, the current mortgage rate for a 30-year fixed loan is 6.80%, while opting to refinance has a higher rate of 7.37%. Keep this difference in mind as you consider your loan options. Understand rates can vary whether you're entering the market or aiming to adjust your current loan.

Current Mortgage Rates in Tennessee by Loan Type

A 30-year fixed-rate mortgage in Tennessee usually has a higher interest rate than a 15-year fixed-rate mortgage. The lender faces more risk with a longer loan term, such as interest rate fluctuations and the possibility of default.

Consider using a mortgage calculator to decide between different mortgage loan types in Tennessee. It can help you understand how different rates affect your monthly payments and empower you to make an informed decision.

Data filtered by:Results filtered by:
Loan Type:
Loan Type:10-Year Fixed
5.94%APR6.18%
mglogo icon
INTEREST RATE VS. APR: WHAT'S THE DIFFERENCE?

An interest rate is how much you pay each year to borrow money for a mortgage. The average mortgage interest rate for a 30-year fixed mortgage in Tennessee is 6.73%.

APR stands for annual percentage rate. It includes your mortgage interest rate plus fees like mortgage points. For a 30-year fixed mortgage in Tennessee, the average APR is 6.80%, showing the total loan cost each year.

Current Mortgage Rates in Tennessee by Credit Score

In Tennessee, if you have a credit score of 740 or higher and make a 5% to 20% down payment, the average APR for a 30-year fixed mortgage is 6.92%. On the other hand, with a credit score below 680, the rate goes up to 7.45%.

Your credit score influences the mortgage rates you might get in Tennessee. Check out the interactive table below to see the different rates you could qualify for based on your credit score and down payment amount.

Data filtered by:Results filtered by:
Credit Score Range:
Credit Score Range:680 - 740
Down Payment:
Down Payment:20% or higher
10-year FixedAPR6.18%
15-year FixedAPR6.24%
20-year FixedAPR6.91%
30-year FixedAPR7.14%
5-year ARMAPR7.80%
7-year ARMAPR7.63%

Mortgage Types in Tennessee

In July 2024, 30-year fixed-rate VA loans have the lowest average APR for 30-year fixed-rate mortgages in Tennessee. Knowing the differences among mortgage options can impact your budget over the life of your loan. Below, you'll find a breakdown of the mortgage loan types available in Tennessee:

Mortgage Type
Definition
Impact on Rates
30-Year Rates in Tennessee

Conventional Loans

A conventional loan in Tennessee is not insured by the government.

Credit score and down payment affect the rates for conventional loans.

6.80%

FHA Loans

FHA loans in Tennessee are backed by the Federal Housing Administration.

FHA loans offer lower rates for borrowers with less credit.

6.93%

VA Loans

VA loans in Tennessee are guaranteed by the Department of Veterans Affairs.

VA loans often have lower rates due to government backing.

6.51%

USDA Loans

USDA loans in Tennessee cater to buyers from rural areas and are supported by the USDA.

USDA loans can offer lower rates for qualifying rural homebuyers.

currently unavailable

Jumbo Loans

Jumbo loans in Tennessee exceed the conforming loan limits.

Jumbo loans typically have higher rates due to larger loan amounts.

6.98%

mglogo icon
MORTGAGE RATE STRUCTURES IN TENNESSEE

Mortgage rates in Tennessee are categorized into fixed and adjustable types.

  • Fixed mortgage rates lock in your interest rate, so your monthly mortgage payments stay the same. This makes budgeting straightforward.
  • Adjustable mortgage rates often start with lower interest rates that can change over time. Early on, you might benefit from lower payments.

As of July 2024, Tennessee's average APR for a 30-year fixed loan is 6.80% and 7.39% for a 7-year adjustable-rate mortgage.

Mortgage Lenders in Tennessee

New American, Better and Bank of America are solid options for securing a mortgage in Tennessee. These lenders were specifically chosen for their availability in the state, accreditation by the Better Business Bureau and their homeowner assistance programs. Remember that this list isn't exhaustive; other lenders may better suit your situation.

Your mortgage rate in Tennessee can vary depending on the lender you select. Each lender has unique mortgage products, and the terms of your loan can impact the rate you get. It's wise to compare rates from several mortgage lenders in Tennessee to secure the best deal possible


  • New American
    • 8Number of Mortgage Options
    • YesOnline Application
    • ABBB Rating
    • Monday to Friday, 8 am to 9 pm CT Saturday, 10 am to 2 pm CTCustomer Service Hours

    New American has diverse mortgage options in Tennessee. Its offerings include conventional and FHA loans, providing flexibility to meet your needs. The minimum credit score for getting an FHA loan is 580, while you need a 680 credit score for a jumbo loan. Down payments are as low as 3% for conventional loans and 3.5% to 10% for FHA loans. Veterans and eligible servicemembers don't need a down payment for VA loans.

    New American's customer service is available from 8 a.m. to 9 p.m. CT on weekdays and 10 a.m. to 2 p.m. CT on Saturdays. Support can be reached by phone or email. If you find yourself in a rough patch, it offers assistance programs to help homeowners stay on track in their homeownership journey. Whether buying your first home or refinancing, this lender provides the options and support to guide you through the process.

    Pros

    • Extensive mortgage options available
    • Mobile app for easy management
    • 14-day close guarantee on purchases

    Cons

    • Limited FAQ resources available
    • Online prequalification not offered
    • Branches absent in 11 states
    New American

  • Better
    • 4Number of Mortgage Options
    • YesOnline Application
    • B+BBB Rating
    • Monday to Friday, 8 am to 9 pm ET Saturday and Sunday, 9 am to 9 pm ETCustomer Service Hours

    Better is an online-only mortgage lender providing various options like fixed-rate and adjustable-rate mortgages. It also offers jumbo loans, which require a 700 credit score. Conventional loans are accessible with a credit score of 620, while an FHA loan requires just 580. The minimum down payment for regular non-FHA loans is 3% to 5%. However, if your credit score is below 580, you'll need a 10% down payment. FHA loans require as little as 3.5% if your score is at least 580. If a co-borrower is involved but not living on the property, the down payment requirement jumps to 25%.

    Better's customer service is available from 8 a.m. to 9 p.m. ET on weekdays and weekends. Support channels include phone and email, allowing for a responsive support experience. If you need assistance, Better offers a Homeowners Assistance Program — the Better Real Estate discount — to help with the homeownership journey. Remember these elements as you navigate the path to your new Tennessee home with Better.

    Pros

    • Loan officers have no commission for larger loans
    • Fast commitment letter for qualifying borrowers
    • Support available on Sundays

    Cons

    • No physical branches
    • B+ rating from BBB
    • No VA or USDA loans offered
    Better

  • Bank of America
    • 6Number of Mortgage Options
    • YesOnline Application
    • ABBB Rating
    • Monday to Friday, 8 am to 10 pm ET Saturday 8 am to 6:30 pm ETCustomer Service Hours

    Bank of America provides a range of mortgage products in Tennessee, available both online and in person. You'll find options like fixed-rate and adjustable-rate mortgages and jumbo, FHA and VA loans tailored to different needs. The Affordable Loan Solution mortgage is an attractive option for many, requiring just a 3% down payment. For veterans opting for VA loans, there is no down payment requirement. Minimum credit scores for these loans aren't disclosed publicly, which means you have to contact Bank of America for more details.

    Bank of America supports its borrowers with ample customer service hours. You can speak with someone Monday to Friday from 8 a.m. to 10 p.m. ET and Saturdays until 6:30 p.m. ET. This service is accessible online, over the phone or in person, ensuring help is readily available. The lender goes beyond lending with programs aimed at assisting homeowners like America's Home Grant® and Down Payment Grant. Such offerings reveal Bank of America's commitment to helping borrowers navigate the home-buying process.

    Pros

    • Unique mortgage products, including Affordable Loan Solution
    • Client Assistance Program offers payment forbearances
    • Online calculators for various mortgage-related figures

    Cons

    • Online profile required for prequalification
    • Minimum credit requirement not disclosed
    Bank of America

Mortgage Programs in Tennessee

Homeownership has hidden costs that might impact your budget. If you live in Tennessee, you can get help from the Tennessee Housing Development Agency, which offers different mortgage programs.

Program
Content

Great Choice Home Loans for First-Time Homebuyers

The Great Choice Home Loans for First-Time Homebuyers offers a steady 30-year loan to Tennessee's first-time buyers with middle income. It's built for stability, with no surprise interest rate hikes, manageable monthly payments and down payment relief. Qualifying starts with a 640 credit score, but there's help if your score is lower. It even supports manufactured homes off-site, easing upfront financial worries.

Homeownership for Heroes

Homeownership for Heroes supports Tennessee's community heroes: those in the military, law enforcement, EMTs and firefighters. This program offers a reduced interest rate of 0.5%, bypasses the first-time buyer rule and offers up to 100% financing. Eligible heroes with at least a 640 credit score also gain access to down payment assistance, making this a substantial offer.

Repeat Homebuyer

The Repeat Homebuyer program welcomes first-time and previous homeowners. You qualify if you buy in certain counties, serve in the military or haven't owned for three years. This program promises the same 30-year term benefits, fixed rates and down payment aid as the first-timer's loan. You can access up to 96.5% financing if you have a 640 credit score.

Down Payment Assistance

If you have a Great Choice Home Loan, you can access the Down Payment Assistance program. The program offers a deferred $6,000 loan with no interest, which you can pay at the term's end or after the sale of your house. It also offers a loan worth 6% of your purchase price, repaid over 30 years. A quick education course is required to qualify.

FAQ: Mortgage Rates in Tennessee

Understanding today's mortgage rates in Tennessee is a common concern for homebuyers. We've addressed your questions to help you make informed mortgage decisions as you buy a home in Tennessee.

What are the current mortgage rates in Tennessee?
How do mortgage rates in Tennessee compare to national rates?
How does my credit score impact the mortgage rates I get in Tennessee?
Are there any special mortgage programs in Tennessee to help homebuyers?
How can I get the best possible mortgage rate in Tennessee?
What are today's mortgage refinance rates in Tennessee?
How do I calculate my mortgage payments?

About Zachary Romeo

Zachary Romeo headshot

Zachary Romeo is the Head of Loans and Banking at MoneyGeek, with over 10 years of experience and forthcoming certification as a Commercial Banking and Credit Analyst (CBCA). Previously, he led production teams for some of the largest online informational resources in higher education.

Romeo has a bachelor's degree in biological engineering from Cornell University. He geeks out on minimizing personal debt through people-first content.

sources
Insurance
Mortgage
Credit Cards
Loans
About MoneyGeekPressPrivacy PolicySitemap
Copyright © 2024 MoneyGeek.com. All Rights Reserved Terms of Use