Rhode Island is part of the New England region and is the smallest U.S. state by land area. Geographically, Rhode Island is known for its many bays and inlets ― particularly the Narragansett Bay (and estuary) which has over 30 islands. The state’s economy is based on fishing, farming, shipping, health services, tourism, and manufacturing.
Over 1 million people live in Rhode Island, which was the first of the 13 original colonies. While it’s famous for being a vacation state (due to the abundance of oceanfront beaches), Rhode Island is home to many top-tier universities and colleges as well. The state also boasts some unique culinary traditions, including snail salad, clam cakes, pizza strips, and Rhode Island Clam Chowder (not to be confused with the New England or Manhattan versions). Homebuyers and homeowners in the Ocean State should be aware of current housing market conditions and stay informed about Rhode Island mortgage rates.
Rhode Island mortgage rates, like national mortgage rates, have been on the decline since the economic meltdown that began several years ago. Prospective homebuyers may discover that Rhode Island mortgage rates have reached historically-low levels. On the other hand, current homeowners may be able to benefit from low Rhode Island mortgage rates by refinancing their mortgage loans.
Your Rhode Island mortgage rate will be influenced by a number of factors ― including your income and debt, employment status, and credit history. Rhode Island mortgage rates may be fixed or adjustable (i.e. variable), depending on the type of loan you obtain. Keep in mind that your loan may come with additional costs, such as mortgage application fees and settlement costs.
Due to falling Rhode Island mortgage rates, many homeowners are looking into mortgage refinancing. To be eligible for a refinance, you will need to provide the mortgage lender with proof of your income, assets, debt obligations, credit score, and home equity. If your loan exceeds 80% of your home’s appraised value, you may need to pay for mortgage insurance.
Low Rhode Island mortgage rates have encouraged many homeowners to refinance their loans. However, you must be sure that this is the right move for you. It’s generally recommended that you refinance ONLY if the Rhode Island mortgage rate being offered is at least 1% lower than your current mortgage rate. Otherwise, when you factor in loan processing fees and closing costs, a refinance may not be worthwhile.
The chart below provides up-to-date Rhode Island mortgage rates for refinancing. It’s advised that you shop around and compare products from different lenders before making a final decision. Remember that Rhode Island mortgage rates are constantly changing and it’s in your best interest to stay informed.