Today's Rates in Delaware
Looking for the best mortgage rates in Delaware? Whether you prefer the mini-urban appeal of Wilmington, or the serenity of Bethany Beach, you'll want to get the best mortgage available. Here's how to do it:
- Educate yourself.
- Know your options.
- Determine your goals.
- Comparison shop.
- Crunch the numbers.
Mortgageloan.com can guide you through this process with our collection of informative articles; advertised mortgage loan rates; free, no-obligation personalized rate quotes from multiple lenders; a full complement of mortgage calculators and more.
You're find current Delaware mortgage rates for some of the most popular types of home loans at the top of this page. Keep in mind, though, that those rates are averages and the rate you pay may vary. Delaware mortgage rates vary from borrower to borrower, even for similar loans. Your credit score, loan amount and down payment can all affect the rate you pay, including whether you opt to pay for discount points, which are a way of buying a lower rate. So you want to find which lender will have the best mortgage rates in Delaware for you personally.
Knowing the difference between a conforming and non-conforming mortgage can save you money. Conforming mortgages, sometimes called conventional mortgages, are the most common type of home loan in the U.S.A. They are backed by either Fannie Mae or Freddie Mac, two federally chartered agencies that provide liquidity to the U.S. mortgage industry. This liquidity helps keep rates low and allows for favorable terms, such as 30-year fixed-rate loans, which are uncommon in other countries.
Conforming loans are those that conform to the criteria set by Fannie Mae and Freddie Mac, which includes credit scores, maximum loan amounts, debt-to-income ratios, documentation requirements and more. Loans that don't meet these criteria are called non-conforming loans and typically have higher rates. The maximum loan amount is reviewed and reset annually by the Office of Federal Housing Enterprise Oversight (OFHEO). Any loan in excess of this maximum is considered a jumbo loan.
Delaware borrowers looking to an alternative to a conforming loan might consider an FHA loan. These loans are popular for first-time homebuyers, who often have limited finances and weaker credit, and can be a good choice for other borrowers as well. FHA loan requirements in Delaware and elsewhere are more forgiving of weak credit than conforming loans are, and will often provide better mortgage rates for borrowers with lower credit scores as well. The loan limits for a Delaware FHA loan are lower than on a conventional loan, but higher limits apply in certain areas with higher property values.
Delaware Refinance Rates
A refinance mortgage is not much different from a mortgage used to buy a property. The main difference is you're simply taking out a new mortgage to replace your old one, rather that purchasing a home, and that your home equity in a refinance replaces the down payment you make when purchasing.
The best refinance rates in Delaware go to borrowers with strong credit who've accumulated a substantial amount of home equity, both of which can help you qualify for a better rate. You don't have to use the same lender who holds your current loan to refinance, since you'll be paying that loan off. You can also get a better refinance rate by choosing a shorter term than your current mortgage; Delaware borrowers who've been paying a 30-year mortgage for several years often opt for a 20- or 15-year loan when refinancing to get a better rate and pay their loan off a few years sooner than they otherwise might have.
Looking for the best refinance rates in Delaware?, You can request free personalized refinance rate quotes, with no obligation, simply by using the form at the top of this page.
Home Equity Loans
Home equity loans are also a type of mortgage, though you don't often hear them called that. Technically, they're a type of second mortgage, so called because they're an additional lien on top of the primary mortgage used to purchase their home.
Delaware home equity loan rates are somewhat higher than on mortgages used to purchase or refinance but are usually quite a bit lower than rates on unsecured loans, like personal loans or credit cards. On the other hand, closing costs are often quite low and may be zero with a home equity line of credit.
Home equity loans in Delaware come in two types: a regular home equity loan and a home equity line of credit, or HELOC. With a regular home equity loan, you borrow a sum of money and repay it; a HELOC gives you a line of credit you can borrow against as you wish. Standard home equity loans usually have fixed rates, while HELOCs are adjustable-rate loans while the line of credit is active.
Common uses for Delaware home equity loans include home improvement, debt consolidation, college tuition, and business start-up costs. As with a first/primary mortgage, your second mortgage lender can foreclose if you don't make the scheduled payments, so proceed carefully before committing.
If you want to see what kind of home equity loan rates are available in Delaware, you can use the rate request form at the top of this page to request personalized rate quotes from multiple lenders for either a regular home equity loan or a HELOC.
Compare Delaware Mortgage Rates
Before you begin requesting mortgage loan quotes from Delaware lenders, do some preliminary comparisons. You have many home financing options, from home equity lines of credit to 40-year fixed-rate mortgages. It might take some research to determine which mortgage type is best for you. Mortgageloan.com's articles, mortgage calculators, and interest rate tables should give you the background information that you need. Then you can request a personalized quote, or take your questions directly to qualified lenders in your area.
Once you receive written mortgage offers, analyze them with our mortgage calculators - just click on the highlighted link. These calculators are free of charge and require no specialized knowledge to use. You can use them to run the numbers on virtually every aspect of your mortgage, from comparing fixed-rate loans to adjustable-rates, to comparing the interest savings from a 15-year loan vs. 30 years, and more. They're great tools to help you determine which mortgage is the most affordable and cost-effective for you.