Source: Motley Fool —
If you’re looking to buy a home, you’ll often hear that it’s best to keep your housing costs on the low side so you don’t risk overextending yourself. But in some markets, that’s just not possible. If you’re looking to buy a home in an expensive corner of the country, you may need to take on a higher mortgage. That’s where a jumbo loan comes in. Here’s an overview of what today’s jumbo mortgage rates look like.
For today, August 31st, 2022, the current average mortgage rate for a 30-year fixed-rate mortgage is 5.668%, the average rate for a 15-year fixed-rate mortgage is 4.967%, the average rate for a 7/1 adjustable-rate mortgage (ARM) is 4.847%, the average rate for a VA loan is 5.261%, and the average rate for a JUMBO loan is 5.364%. Rates are quoted as annual percentage rate (APR) for new purchase .
What is a jumbo mortgage?
Each year, the Federal Housing Finance Agency sets a limit for conforming loans. A jumbo mortgage is a home loan that exceeds those limits. Lenders are generally much stricter when giving out these loans. As such, you need great credit (among other things) to qualify.
