I really can’t believe that I am writing this again, but Utah mortgage interest rates have crept down again. It is hard for me to believe because going much lower will create a lack of demand in mortgage backed securities (MBS’s), which will in turn start to hurt the availability of funding for mortgage loans. But I digress.

For all the rates I am going to quote you, I am going to use the tool that was designed for that purpose by the Wall Street Journal. Now they will get their data from the Mortgage Bankers Association (MBA), so if you really want to go to the source, you can go to either site and search for mortgage rates.

If you want to refinance your Utah mortgage using a 30 year fixed rate loan, then you are looking at a national overage of 3.96%. If you are willing to decrease that term to a 15 year loan, then you are looking at 3.30%. The payment for principle and interest only on a $200,000 loan would be $950.22 for the 30 year term and $1,410.20 for the 15 year term. Remember that is just principle and interest only, so you would need to add in your taxes, property insurance, and possibly mortgage insurance if your loan to value exceeds current allowable guidelines.

If you are looking to purchase a home, the rates will be just a touch lower. The rates on a 30 year fixed rate and a 30 year FHA loan are the same currently — 3.88%. If you would be able to get your loan term down to a 15 year note, then you could get your rate as low as 3.21% fixed. Of course, on all of these loans we are looking at someone with great credit (720+ credit scores), at least 20% down on the conventional loans, and a clean credit history. If you have less than 20% down, then the FHA loan may be the right choice for you, but remember there is mortgage insurance that will be required on top of the principle and interest payments.

Most experts are projecting because of what Ben Bernanke is currently promising — he won’t raise rates at least through this year — that Utah mortgage interest rates will not increase significantly. While there may be some fluctuations, especially once the big mortgage settlement is announced next week, rates should not jump up anytime soon. My advice — wait until you see the details of the mortgage settlement if you are looking to refinance your loan. If you are looking to buy a home in Utah, now is a great time as it seems that home values have stabilized.

Related Topics:
Buy a Home in Utah
Utah Mortgage Advice
Refinancing My Utah Mortgage