Understanding Mortgage Rates

Mortgage rates play an important role in the overall cost of buying a home. Even a small difference in your interest rate can affect your monthly payment and the total amount paid over the life of your loan.

A variety of factors may influence your rate, including your credit profile, down payment, loan amount, loan term, and current market conditions. Understanding how these factors work together can help you make informed decisions throughout the home financing process.

What Affects Your Mortgage Rate?

Several factors may affect the interest rate available to you:

• Down Payment: Your down payment may affect available loan options, loan terms, and interest rates.
• Loan Term: Shorter loan terms may offer lower interest rates but often result in higher monthly payments.
• Credit Profile: Your credit history and credit score are important factors in determining available loan options and pricing.

Here's Where to Start

Use our mortgage calculator below to explore different loan scenarios and estimate monthly payments. If you have questions, an Orrstown Bank Mortgage Officer is here to help.

We'll take the time to answer your questions, explain available financing options, and help you understand the mortgage process so you can move forward with confidence.

Key Assumptions for Current Rate Quotes:

• One-unit property
• Closing costs paid out of pocket
• No seller assistance
• Debt-to-income ratio below 45%
• No second mortgage
• Rates valid for a 60-day lock period
• Loan-to-value ratio of 80% or less (minimum 20% down payment)

Estimate your monthly payment.

Learn how different loan amounts, rates, and terms may affect your monthly payment.