Mortgage interest rates increased this week, according to the Mortgage Bankers Association. Mortgage application activity decreased in turn, showing that today’s buyers remain sensitive to minor fluctuations in rates.
Looking forward, mortgage interest rates are still forecasted to decline somewhat throughout 2024, as the Federal Reserve projects rate cuts will begin sometime later this year. Here are the current mortgage rates, as of June 5:
- 30-year fixed: 7.07% with 0.65 points (previous week: 7.05% with 0.63 points).
- 15-year fixed: 6.75% with 0.63 points (previous week: 6.66% with 0.69 points).
- 5/1 ARM: 6.37% with 0.63 points (previous week: 6.64% with 0.77 points).
- 3-year jumbo loans: 7.21% with 0.41 points (previous week: 7.22% with 0.43 points).
- 30-year FHA loans: 6.87% with 0.96 points (previous week: 6.85% with 0.95 points).
Missouri homebuyers can get mortgage interest tax credits and help with down payments and closing costs from these programs.
- Available to: First-time homebuyers and qualified veterans.
- Income limits: Vary by county (see MHDC income limits).
- First-time homebuyers only?: No.
- Loan options: 30-year fixed-rate mortgages.
- Down payment and closing cost assistance: A forgivable second mortgage of 4% of the loan amount can be used for down payment and closing costs. The second mortgage will be forgiven if the borrower stays in the home and loan for 10 years.
- Available to: First-time homebuyers and qualified veterans who do not need down payment or closing cost assistance.
- Income limits: Vary by county (see MHDC income limits).
- First-time homebuyers only?: No.
- Loan options: 30-year fixed-rate mortgages.
- Benefit: Qualified homebuyers may get a lower interest rate.
- Available to: First-time homebuyers.
- Income limits: Vary by county (see MHDC income limits).
- First-time homebuyers only?: Yes.
- Benefit: Qualified borrowers get a non-refundable federal tax credit of 25% of the total amount of mortgage interest they pay each year.
- Available to: Borrowers who have owned homes before but who lack sufficient equity or funds for down payment to purchase their new home can get a lower interest rate. It also allows first-time buyers who fall outside the income limits for Cash Assistance Loans and Non Cash Assistance Loans to achieve homeownership.
- Income limits: Vary by county (see MHDC income limits).
- First-time homebuyers only?: No.
- Loan options: 30-year fixed-rate mortgages.
- Down payment and closing cost assistance: Down payment and closing cost assistance is available as a forgivable second mortgage of 4% of the loan amount. The mortgage is forgiven if the borrower stays in the home and loan for 10 years.
U.S. News selects the Best Loan Companies by evaluating affordability, borrower eligibility criteria and customer service. Those with the highest overall scores are considered the best lenders.
To calculate each score, we use data about the lender and its loan offerings, giving greater weight to factors that matter most to borrowers. For mortgage lenders, we take into account each company’s customer service ratings, interest rates, loan product availability, minimum down payment, minimum FICO score and online features.
The weight each scoring factor receives is based on a nationwide survey on what borrowers look for in a lender.
To receive a rating, lenders must offer qualifying loans nationwide and have a good reputation within the industry. Read more about our methodology.
To recap, here are the picks: