Mortgage Rates
Are you planning to buy a home in Central Pennsylvania or Maryland? If you’re not paying cash, securing a mortgage loan is essential. One crucial factor to consider is the interest rate offered by lenders, as these rates can vary significantly and impact your overall costs.
What Is a Mortgage Interest Rate?
The mortgage interest rate is the cost of borrowing money to finance your home purchase. It compensates the lender for providing the funds. Rates fluctuate based on various economic factors, including market conditions, inflation, and employment rates. Additionally, the status of the secondary mortgage market, influenced by companies like Freddie Mac and Fannie Mae, affects the rates lenders can offer.
Why Mortgage Rates Matter
Even a small change in interest rates can have a significant impact on your finances. For example, on a $200,000, 30-year fixed-rate mortgage, a rate increase from 4.5% to 5% can add approximately $60 to your monthly payment, totaling an extra $21,600 over 30 years. Use the Orrstown Bank mortgage calculator to explore how different rates can affect your payments.
Use the Orrstown Bank mortgage calculator to explore different interest rate scenarios in PA and MD.
Factors Influencing Your Mortgage Rate
The advertised rate may not reflect what you'll actually receive. Several factors influence your final mortgage rate:
- Down payment size: A larger down payment reduces lender risk, potentially lowering your rate.
- Term length: Shorter loan terms typically come with lower interest rates.
- Credit history: A strong credit score enhances your chances of securing a better rate.
Why Choose Orrstown Bank as Your Mortgage Provider?
At Orrstown Bank, we offer competitive mortgage rates and exceptional service, ensuring a smooth borrowing experience. Our transparent lending process eliminates hidden fees, and our local decision-making allows for efficient loan closings.
Start Your Mortgage Journey Today
Monitor mortgage rates effortlessly by filling out our quick form. Our team is ready to assist you in finding the right mortgage for your needs. Here are some key assumptions for our current rate quotes:
- One-unit property
- Closing costs paid out of pocket
- No seller assistance
- Debt-to-income ratio is below 45%
- No second mortgage
- Rates are valid for a 60-day lock period
- Loan-to-value ratio of 80% or less (down payment is at least 20%)
Contact us to learn more about current mortgage rates in PA and MD, and start your mortgage application today!
General Disclosures
Interest rates and APRs are based on current market rates, are for informational purposes only, are subject to change without notice and may be subject to pricing add-ons related to property type, loan amount, loan-to-value ratio, credit score and other variables. The actual fees, costs and monthly payment on your specific loan transaction may vary and may include additional fees and costs. Some restrictions may apply. Call us at 1-888-677-7869 for additional information.
This is not a credit decision or a commitment to lend and credit is subject to approval. Depending on loan guidelines, mortgage insurance may be required. If mortgage insurance is required, the mortgage insurance premium could increase the APR and the monthly mortgage payment.
APR (annual percentage rate) reflects the effective cost of your loan on a yearly basis, taking into account such items as interest, most closing costs, discount points (also referred to as "points") and loan-origination fees. Your monthly payment is not based on APR, but instead on the interest rate stated on your promissory note.
FHA loans require both an up-front and an annual mortgage insurance premium. The premium varies based on the loan characteristics, your credit score, whether you've received loan counseling, and other factors. For illustrative purposes on FHA loans, our detail results do not include a mortgage insurance payment added to the monthly principal and interest payment. Contact a Mortgage Originator for further details.
Other products and terms are available upon request.
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