Arizona is a state drenched in history ― from a 2 billion year-old gorge (also known as the Grand Canyon), to its Native American roots and legends of the Old West. Arizona’s landscape consists of mountain ranges, low deserts, copper mines, reservoirs, and irrigated fields. Agriculture and manufacturing are major industries for this land-locked state, which has 15 counties and the 14th highest population in the United States. Homebuyers and homeowners in the Grand Canyon State should be aware of real estate market conditions and stay informed about Arizona mortgage rates.
Arizona mortgage rates, similar to national mortgage rates, have been declining steadily since the housing market crisis that erupted several years ago. Potential homebuyers may discover that Arizona mortgage rates are the lowest they’ve been in quite some time. Additionally, existing homeowners may be able to benefit from low Arizona mortgage rates by refinancing their current loans.
The Arizona mortgage rate that you receive will be based on a number of factors, including your credit score, income, and debt obligations. Arizona mortgage rates may be fixed or variable (i.e. adjustable), depending on the type of loan you obtain. Also remember that your mortgage may include certain costs, such as application fees and closing costs.
With the decline of Arizona mortgage rates, many homeowners have decided to consider mortgage refinancing. A refinance basically replaces your old mortgage balance with a new home loan. Lenders will assess your credit score, income, and home equity to see if you qualify for refinancing.
While low Arizona mortgage rates have prompted many homeowners to refinance their loans, you need to be sure that this is the right strategy for you. In general, it’s advised that you refinance ONLY if the Arizona mortgage rate being offered is at least 1% lower than your current mortgage rate. Otherwise, considering the lenders fees and additional costs, a mortgage refinance is probably not worth it.
The chart below provides Arizona mortgage rates for refinancing a loan. It’s highly recommended that you shop around first and compare offers from various lenders before making a final decision. Remember that Arizona mortgage rates are constantly changing, and it’s in your best interest to stay informed.