Home values in South Carolina have increased by 8.7% this past year making it one of the most popular states to move into and for good reason. The Palmetto State not only has beaches, historic locations, and various state parks, but it also has a growing job market and a reasonable cost of living.
If you are looking to purchase a home or refinance, the task of navigating the real estate market to find the best mortgage broker and mortgage rates can be daunting. Keep reading for a quick guide to mortgage rates in South Carolina.
Mortgage Rates in South Carolina for a First Home Purchase
Currently, mortgage interest rates for South Carolina are increasing and there are different options available for those looking to purchase.
A 15-year fixed mortgage has an interest rate of approximately 2.36%, while a 30-year mortgage has an interest rate of around 3.09%.
Though a 15-year fixed mortgage has a lower interest rate, you will be making higher monthly payments to pay off your mortgage within a shorter period of time. This is ideal for individuals who are focused on long-term savings and can afford the increased monthly amount.
Alternatively, a 30-year fixed mortgage has a higher interest rate and extends over a longer period of time, but requires a lower monthly payment. This is popular for people who want a more affordable option.
Another main category of mortgages is the jumbo mortgage.
Jumbo mortgage loans exceed the monetary limit set by the Federal Housing Finance Agency (FHFA) and the lender is not protected from losses if the borrower defaults. This means that jumbo mortgages are riskier for lenders.
The lack of guarantee and the large amount of money involved in jumbo mortgages causes them to have a higher mortgage interest rate than a 15-year or 30-year fixed mortgage.
In South Carolina, a 30-year fixed jumbo mortgage has an interest rate of approximately 3.1%.
If you are actively looking for mortgage loans, there are a variety of mortgage programs for first-time home buyers.
Mortgage Rates in South Carolina for Refinancing
Refinancing your home means you are replacing an already existing mortgage loan with a new one.
There are several reasons a homeowner may choose to refinance their home. They may have obtained a better credit score, allowing access to better loans, or mortgage interest rates could experience an overall drop. However, home refinancing mortgage rates are higher than the mortgage rates of a home purchase.
A 30-year refinance mortgage has a rate of approximately 3.13% in South Carolina.
Find a Good Mortgage Rate in South Carolina Today
Finding the best mortgage rate in South Carolina does not have to be difficult. Whether you want to make a home purchase or are looking at different mortgage rates for home refinancing, there are options available to suit your needs.
Learn more about which mortgage loan is right for you. Contact us today to see how we can help with a new home purchase or home refinancing.